Prepping for technical follow-ups after DCF walkthroughs, especially the ‘what if’ questions. The community’s VP pushback database has 23 scenarios—how practical is it to memorize all responses? Anyone actually used these in mock interviews? Specifically, how do you adapt them when interviewers pivot to niche industries not covered in the examples?
memorize? wrong move. those scenarios are patterns, not scripts. last week some kid quoted scenario 15 verbatim—MD roasted him for ignoring regulatory factors. learn the structure: challenge → key assumption → alternative angle. then fake it based on the bank’s focus areas.
i grouped them by sector & made cheat sheets! but in mocks, I keep messing up the cross-applications. maybe need better frameworks??
Select 5-7 high-frequency scenarios (e.g., capex spikes, client insists on higher growth). For niche industries, apply the same logical framework: ‘In unfamiliar sectors, I’d identify the value driver analogs—for example, treating pharmaceutical trial costs like tech R&D amortization in scenario 8.’ Practice this translation skill explicitly.
You’re asking the right questions! Stay adaptable—your preparation will shine through!
Was asked about DCF validity for crypto firms (lol). Panicked, then remembered scenario 21 where a VP questioned renewables assumptions. Pivoted to ‘volatility-adjusted cash flows’ similar to handling regulatory uncertainty. Interviewer smirked but moved on. Sometimes the stretch is enough.
Of the 23 scenarios, 78% focus on three areas: growth rate justification, WACC sensitivity, and terminal value realism. Prioritize these. For niche industries, correlate their key metrics to covered sectors (biotech → tech hardware gross margins with pharma approval probabilities). Use analogical framing from the database’s cross-sector notes.