Using Thomson Research Worldscope 10-Year Data

1. Your company or library might subscribe to Thomson Research (which is not

exactly the same as the Thomson ONEBusiness School Edition). If so, you
might choose to use this as your data source. One advantage is that it has the 10-
year historical balance sheets, income statements, and statement of cash flows all
in one file (while Thomson ONE has them in three separate files). Following are
directions for using data from Thomson Research in the valuation model.
2. After logging in, enter your companys ticker symbol and click Go.
3. Select Worldscope 10-K History (10-Year).
4. This will bring up a screen with the ten-year historical balance sheets, income
statements, and statement of cash flows. Select the entire spreadsheet and copy
and paste it into another spreadsheet. Save this Excel file.
5. Look through the financial statements in the Excel file you just saved. Make sure
that only numbers (or blank spaces) appear in the financial statement columns.
For example, some data sources might put in NA or n/a for data items that are not
available. If you data have any non-numeric entries, replace them with zeros. For
example, you could highlight the data columns (not including the first column
with the labels), and do Edit, Replace. For Find what:, you could enter NA.
For Replace with:, you could enter 0. Then you could click Replace All.
6. Make a copy of the file Valuation Template (Thomson Research Worldscope 10
year.xls and give it the name of your company.
7. Open the valuation template you just copied, and open the Excel file with the
financial statements.
8. Highlight the entire financial statements worksheet, and do Edit, Copy. Put your
cursor in cell A1 of the Actual worksheet of the valuation spreadsheet. Do Edit,
Paste Special, Values. You must paste values, because the downloaded Excel data
may have special web features that may cause the program to crash if you simply
paste it into the valuation spreadsheet.
9. Check the Comprehensive worksheet in the valuation model spreadsheet to make
sure that the income sheet and balance sheets match up with the actual data. If
not, see the file Tip Sheet (on the books web site) for advice in spotting the
mistake.
10. Check the Condensed worksheet in the valuation model spreadsheet to make sure
that the balance sheets balance. If not, see the file Tip Sheet (on the books web
site) for advice in spotting the mistake. Note: the Condensed net income, total
assets, and total liabilities & equity may not match up with the Comprehensive
worksheet, but this is not an error, as long as the Condensed balance sheets
balance. Some of the adjustments made in condensing the Comprehensive
statements are made to conform to economic logic and not necessarily accounting
rules. See Chapters 9 and 10 and their appendices for details. Also, see the files
Ch 09 Appendix Explanation of Condensed Sheet.doc and Ch 09 Mapping
Comprehensive to Condensed.doc for more details.
11. Now you are ready to analyze the historical situation, choose inputs, and find your
estimated intrinsic value for the company.