{
  "docId": "019dd923-622c-750b-8b96-1aee342c3a73",
  "docSlug": "10dc4f9f3e31",
  "documentTitle": "American Tower (AMT)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
  "documentKindSlug": "research-note",
  "documentKindLabel": "Research note",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2013-07-17 00:00:00",
  "orientation": "portrait",
  "aspectRatio": 0.77272725,
  "pageNumber": 108,
  "pageCount": 118,
  "prevPage": 107,
  "nextPage": 109,
  "slideType": "appendix_methodology",
  "function": "appendix",
  "density": "dense",
  "nDataPoints": 70,
  "notes": "Includes a specific formula for Country Total Equity Risk Premium and a table of WACC inputs for 10 countries.",
  "elementsJson": [
    "headline_text",
    "paragraph",
    "data_table"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b96-1aee342c3a73/108",
  "deckHref": "/decks/019dd923-622c-750b-8b96-1aee342c3a73",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b96-1aee342c3a73.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b96-1aee342c3a73#slide-108",
  "components": [
    {
      "bbox": {
        "h": 0.05,
        "w": 0.58,
        "x": 0.21,
        "y": 0.51
      },
      "kind": "callout",
      "text": "Country Total Equity Risk Premium = (Equity Risk Premium for Mature Market such as SPX) + ((Sovereign 10YR CDS – US 10YR CDS) * (Country Equity Vol / Country Yield Vol))",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "1deb26d4-601a-4497-a7a8-8bf095b6d36b",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "WACC",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd952-ee35-7258-b4cd-15505bc33f67",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.82,
        "x": 0.09,
        "y": 0.11
      },
      "kind": "paragraph",
      "text": "We developed discount rates utilizing three primary approaches to estimate the required return on capital.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "3f1ef895-5ac3-45db-8fd4-1d480d4530cb",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.04,
        "w": 0.82,
        "x": 0.09,
        "y": 0.89
      },
      "kind": "paragraph",
      "text": "We should note a couple of important points in the above table. 10-year bond yields in local currency were unavailable for Ghana...",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "73013276-b12b-4eb6-bbae-7190bac6c01c",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.25,
        "w": 0.82,
        "x": 0.09,
        "y": 0.2
      },
      "kind": "paragraph",
      "text": "For our first approach, we consulted the research and published work of NYU professor Aswath Damodaran...",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "8c2fb9dc-5a74-4aab-8a40-5dca2a724a54",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.02,
        "w": 0.23,
        "x": 0.09,
        "y": 0.16
      },
      "kind": "paragraph",
      "text": "Damodaran Methodology",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "b9ac86cf-34b7-48c5-9de3-a6518005f4f8",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "quote",
      "text": "Standard CAPM assumptions are basic things that are simply untrue in many foreign markets such as perfect markets, diversified investor portfolios, and information symmetry.",
      "attrs": null,
      "subkind": null,
      "toolName": "Authority citation",
      "toolSlug": "authority-citation",
      "confidence": null,
      "componentId": "019dd952-ee35-7258-b4cd-113d5c218a57",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.21,
        "w": 0.58,
        "x": 0.21,
        "y": 0.65
      },
      "kind": "table",
      "text": "Table showing WACC calculations for 10 countries including USA, Mexico, Brazil, India, Ghana, South Africa, Colombia, Uganda, Chile, Peru, Germany.",
      "attrs": null,
      "subkind": "data",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "6caa8a19-ca56-4e2e-8119-ed5cfcabab7c",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.02,
        "w": 0.38,
        "x": 0.31,
        "y": 0.07
      },
      "kind": "title",
      "text": "APPENDIX A.5: COST OF CAPITAL",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "ac4fa14b-1d0d-44e2-b41d-dc2adfe8162d",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [
    {
      "name": "Valuation: DCF",
      "slug": "dcf",
      "agent": "architect",
      "layer": "slide",
      "matchId": "7b133eae-819f-4bb1-98d0-2eb80518c21f",
      "evidence": "We developed discount rates utilizing three primary approaches to estimate the required return on capital.",
      "confidence": 0.7
    }
  ],
  "frameworks": [
    {
      "name": "Damodaran Methodology",
      "slug": null,
      "matchId": "cec92b16-749f-425e-8071-97851b5bfc18",
      "evidence": "Explicitly cited in text and formula provided.",
      "confidence": 1
    }
  ],
  "arcBeats": [],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}