Module II· Football Field & SensitivitiesIntermediate
Question
How do you construct a two-variable sensitivity table?
Answer
Standard 2x2 table in Excel
One variable in the column header (e.g. WACC: 8% / 8.5% / 9% / 9.5% / 10%), one in the row header (e.g. g: 1.5% / 2% / 2.5%). Each cell holds the calculated output variable — typically EV or equity value per share.
Excel tool
"Data Table" with a row input and a column input.
Pitch presentation
Heat-map coloring — lowest values red, highest green.
Standard variable pairs
WACC × g (DCF), multiple × EBITDA (comps), entry multiple × exit multiple (LBO).
Deep diveShow more details
Pitch tip
'2D sensitivity table reveals interaction effects — at low WACC and high g, EV rises non-linearly to $1,350m (vs. base $1,000m).'