Capital IQ

November 2014

Jo Cummins

© Oliver Wyman
User guide 2

Research examples 28

Exercises 30
1 User guide
 Capital IQ – User guide
1 Basics
Basics Contents and user interface Usage restrictions Similar sources
Description • Capital IQ (Cap IQ) is a deep fundamental research platform. The web and Excel-based platform provides
access to real-time and historical information on companies, markets, transactions, and people worldwide
Access • https://www.capitaliq.com

First-time • When you first log into Cap IQ, check the “Remember me” box underneath the username/password boxes.
settings This will store your details so that whenever you return to Cap IQ you will be able to log in without re-
entering your username and password
Coverage • In-depth coverage across the platform. Two examples:
• Cap IQ financials cover 88,000 companies globally with over 5,000 unique financial data items and 2,500
industry-specific items
• Cap IQ qualitative information covers over 60,000 public companies, over 2,200,000 private companies,
18,000 private equity firms and 1,745,000 active securities
Output • Cap IQ provides sophisticated retrieval and personalization tools, using which you can create numerous
reports in a variety of formats, including XLS, PDF and DOC
Benefits • Accurate, transparent financials
• Highly structured profiles of public and private companies, investment firms, and professionals
• Screening and targeting tools
Limitations • Private company financials not as complete as e.g. Orbis: but improving all the time
• There is so much on the database that it is very hard to cover everything in training!
Help • The Help button can always be found at the top right of the page. Clicking on this link gives you help that is
specific to the page you are using.
• You will also find a full help topics directory and search, contact telephone numbers, contact email address,
useful live chat functionality, and links to product forums.
Source: Capital IQ, Oliver Wyman
© Oliver Wyman 3
 Source title – User guide
1 Contents and user interface (1/22): Company Profile
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Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Contents and user interface (2/22): Company Profile
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• You can quickly access a company’s Profile by typing

1
the company name, ticker or identifier into the search
box. The auto-complete search will begin to populate Important content
with suggestions in a menu below the box. This will
adjust as you type. You can either choose one of
these options or to view all results, click the "See all
results for . . . " link at the bottom of the menu. You can
also search for people, indices, rates, industries,
geographies, commodities…

2• Once you have selected a company, you will land on

the Company Tearsheet. This is a one-page
summary on your target firm. All the information
available on your chosen company (the full Company
Profile) will appear in the menu on the left-hand
side (“left links”). Browse through the options to see
what’s there. Each link will take you to a new page

3• The bar under the company name shows you options

for customising, downloading and saving the
Tearsheet. You can also quickly access the latest
company filings

The Company Profile shows all the information Cap IQ has on a particular company,
so is a good place to start familiarising yourself with database content
Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Contents and user interface (3/22): Financials
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 Capital IQ – User guide
1 Contents and user interface (4/22): Financials
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1• Cap IQ financials are standardised and adjusted,

and split into seven different industry templates (along
with a standard template) to aid comparability. Using Important content
the Template drop-down menu, you can also select to
view as-reported data
2• Currency, frequency, units etc. can be adjusted
using these drop-down menus. Use the slider to adjust
the history you see, or click View All
3• Click any blue hyperlinked number to audit Cap IQ's
calculations. As you mouse over the calculations to
see what line items are included or excluded, you can
drill down into the corresponding filing to see the
source document. Cap IQ will highlight the number in
question in the associated filing or report
4• Click on the “i” icon at the beginning of the row for a
definition of the item and to find out what underlies it
5• Navigate through the different sections of detailed
financial data using the left links or using the grey tabs
at the top of the page

S&P Capital IQ provides financial content for both public and private companies
globally, but bear in mind that private company coverage is not as full
Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Contents and user interface (5/22): Financials
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Financials sections highlights
1• Income Statement, Balance Sheet and Cash Flow
follow a very similar format: see previous slides for
details
2• Multiples displays trading multiples (high, low and
close) for your subject company on a monthly,
quarterly, or annual basis. You can toggle easily to a
chart view (through which you can also plot daily and
weekly data) 1

3• The Capital Structure sections show you the

2
breakdown of the total debt of the company. If you
switch to View As Reported Details you will see data
on individual bond issues, collected from the debt- 3
related footnotes of annual reports
4• Industry Specific shows financials specific to
4
particular industries, e.g. banks, oil and gas. Cap IQ
collect industry specific for 17 different industries
5
5• Segments displays business and geographic segment
data as reported by the company for recent annual and
quarterly periods (very useful for bank analysis!)

All financial data is exportable into Excel. From any section you can export the
single section or all financials
Source: Capital IQ, Oliver Wyman
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 Capital IQ – User guide
1 Contents and user interface (6/22): Estimates
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2 3

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 Capital IQ – User guide
1 Contents and user interface (7/22): Estimates
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1• When you click on CIQ Estimates in the left links

menu, you will be taken to the Consensus Estimates
page. Use dark grey tabs underneath the company Important content
name to navigate to other sections covering the
outlook for the company. As with financials, you can
download just this tab, or all estimates tabs
2• Per share data are broken down by exchange (if the
company trades on more than one exchange). This
section provides a summary
3• This section shows consensus broker
recommendations on a scale from buy to sell
4• The main estimates content is broken down into per
share data and company-level financial estimates.
Click on the blue hyperlinks to see the underlying
estimates and check the estimate dates

5• Highlights from the other estimates sections: Detail

shows broker by broker numbers; Guidance shows
the numbers the company themselves predict. Data
are taken from company filings; Multiples data are in a
similar format to the historical multiples section but use
the estimates dataset; Surprise shows how a
company has performed against broker estimates

Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Contents and user interface (8/22): Transactions
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2 3

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 Capital IQ – User guide
1 Contents and user interface (9/22): Transactions
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1• The Transaction Summary page gives an overview of

all the transactions the selected company has been
involved in. For M&A, you can customise the view by Important content
filtering by role (e.g. deals where your company is the
target) and filtering by transaction type
2• For more information on a particular deal, click the
hyperlinked date. This will take you to the Transaction
Details page – see point 4
3• Information in a similar format is available for M&A
and Public Offerings. The transactions dataset also
includes information on Takeover Defenses and
advisor relationships

4• The Transaction Details page expands on the

information on the summary. It gives detailed deal
values, consideration details, buyer stock details,
target and seller information, related transactions, and
documents related to the deal. Click on Find Similar
Transactions to jump to the Screening tool for
Transactions – or access directly from the Screening
button under the search box

Although Cap IQ provides a useful overview of M&A and aspects of ECM, Dealogic
is the preferred source for complex searching on capital markets transactions
Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Contents and user interface (10/22): Charting
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 Capital IQ – User guide
1 Contents and user interface (11/22): Charting
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1• Clicking on Annotated Stock Chart in the left links

menu launches a chart showing share price and
volume alongside key developments. This chart is Important content
customisable and is a good place to familiarise
yourself with charting functionality. If you click on
Chart Builder in the left links menu, or Charting in the
blue bar under the search box, you can build a chart
from scratch

2• Change the timeframe of the chart here. You can

enter custom dates if necessary

3• Hover over any of the shapes in the chart to read

about key company developments that may have
affected the displayed metrics
4• You can change the metrics displayed in the chart by
selecting common items from Quick Metrics, or by
using the Metric Lookup search box This is a whistle-stop tour of
5• Right click on the chart, or use the hyperlinks in the charting: there is much more
chart summary, to change the annotations shown, functionality than would fit into one
add technical analysis, or add a benchmark
6•
slide! Explore the Chart Builder
There are several different options for saving,
exporting and changing the settings on your chart. yourself to see what kind of charts
Simply right click in the chart, or see the menu bars you can build with equity market
Source: Capital IQ, Oliver Wyman data, financial period metrics and
© Oliver Wyman share traded analysis 14
 Capital IQ – User guide
1 Contents and user interface (12/22): Comps
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 Capital IQ – User guide
1 Contents and user interface (13/22): Comps
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1• There are a couple of ways to view competitors for a

particular company. Click on Competitors under the
Company Summary heading in the left links to see a Important content
straightforward list of competitors that have been
named by the subject company, by a competitor to the
subject company, or by a third party…

2• …or Click on Quick Comps under the Peer Analysis

heading to view a list of the top ten most comparable
competitors, generated by a Cap IQ algorithm. You
can also search for competitors from scratch using
Screening – see the slides on Screening for details.
3• If you don’t agree with one of the competitors, simply
tick the box next to it, go to the Options dropdown, and
select Delete. Similarly, click on Add Companies
here to add additional competitors
4• Navigate through the dark grey tabs to see different
data sets for the ten competitors. You can add
further metrics by clicking on Add/Edit Display
Columns
5• Click on the Edit button here to save the Comp Set
and set the access level (you can share Comp Sets
with colleagues)

Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Contents and user interface (14/22): Report Builder
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Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Contents and user interface (15/22): Report Builder
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1• Use Report Builder (access from near the bottom of

the left links menu, or by hovering over the My Capital
IQ tab) to generate custom reports on one or more Important content
companies in a variety of formats

2• You can also generate a report using a pre-defined

templates. Click on the template's icon to generate or
click the Edit link to see the fields selected in your
template (this will pre-fill the Report Categories and
Fields section)

3• To include companies for reports, click the

Companies Add/Edit link. The resulting pop-up will
allow you to add companies by ticker or company
name, from existing S&P Capital IQ lists, or from
market indices. Once you have made your selections,
click the Add To Report button
4• Choose the information to be included in a custom
report in the Report Categories and Fields section. To
add a Report Category, select the box on the left.
Most categories have quick filter Options that allow you
to quickly choose what kind of information you would
like in your report. Alternatively, you can click the plus
sign to the left of the category name to choose the data
points individually

Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Contents and user interface (16/22): Screening
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 Capital IQ – User guide
1 Contents and user interface (17/22): Screening
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1• Screening is a really powerful search tool. You can

screen Companies, Equities, Transactions, Key
Developments, Fixed Income Securities, People, Important content
Projects, or Portfolios. Use this light grey bar to
quickly change the type of screen (you can also do this
from the Screening tab at the top of the page)
2
• You can use the search bar to search for a criterion if
you’re not sure under which category it falls
3• The columns at the bottom of the page allow you to
browse and select from all available criteria
(Collapse All for a view that’s easier on the eyes!)
4• Click on any category to pick a criterion from that
category. For example, click on Industry
Classifications to see a granular breakdown of the
industries available on the platform. You can search
within many categories, and for many categories you
can select a Relationship Option (e.g. the parent
company operates in a particular industry). Click on
Add Criteria when you’ve chosen your filter. You add
as many additional criteria as you wish

5• Cap IQ will tell you how many companies result from

each stage of your screen and give a results preview.
Click on View Results when you are happy with the
search
Source: Capital IQ, Oliver Wyman
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 Capital IQ – User guide
1 Contents and user interface (18/22): Screening
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 Capital IQ – User guide
1 Contents and user interface (19/22): Screening
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1• Your screening results will show the company name

and the criteria you have screened by, by default

2• You can save the list of companies by using the tick Important content
box to select all (or only those you want) and clicking
Save to List
3• You can export the list straight to Excel to continue
working there. This export will automatically include
the Exchange Ticker
4• Where Is My Company is a useful piece of
functionality you can use to check whether a company
of particular interest would “pass” or “fail” your search
criteria

5• Use Customise Display Columns to add further

columns to the screening results

6• You can save the search criteria using Save as New

Screen

All Screening types work in a similar way, although different types will have different
default display columns. Return to Screen Builder and change the Screen type to
port a set of criteria from one type of screen to another, for example from
Companies to Transactions
Source: Capital IQ, Oliver Wyman
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 Capital IQ – User guide
1 Contents and user interface (20/22): Excel Add-In
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Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Contents and user interface (21/22): Excel Add-In
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1• Through the Excel Add-In you have access to around

150 Templates pre-built by the Cap IQ modelling
team. Click on Templates > Get/Update Templates to Important content
download all available templates We can even ask
Cap IQ to build new templates for us: it takes
between 1-3 business days depending on the size of
the model
2• You can also work in Excel yourself. This is best
shown in a detailed training session, but the previous
slide shows a simple example. Insert a company
ticker directly if you know it, or you can right click and
select “Insert CIQ Identifier” to do a key word search
(cell A2). Right click and “Insert Formula” in cell A4.
Here I‘ve referenced cell A2 and inserted the Quick
Comps formula from the Company Info tab
3• Right click and “Insert Formula” to reference e.g. cell
A5, search for the data item required and select Useful Cap IQ templates include the
from various options on period, currency and so on.
You can also cell reference these items
Capital IQ Identifier Convertor in which
4• You can still audit data in Excel, as in the platform
you can input a list of company names
itself, by right-clicking on the cell and selecting Audit and output ID/ISIN numbers; and a
Data
segmental accounting template that Cap
IQ created for us, which allows segment
Source: Capital IQ, Oliver Wyman
data to be downloaded for a long list of
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 Capital IQ – User guide
1 Contents and user interface (22/22): Some Other Highlights
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Private Equity, People, Markets
1
1• The information available on private equity
companies is similar to that which is available on
public companies, but Cap IQ also tracks their portfolio
companies and direct investments 2

2• Especially useful for research into private equity

companies, but available for all public companies on
the database, is Cap IQ’s People data. Find
biographical and contact information on management
and board members, as well as information on their
committee memberships and compensation
3
3 • See the Markets tab at the top of the page for a wide
range of more general information including Industry
and Geography Profiles, Macroeconomic data, Interest
Rates, and Commodities data

Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Usage restrictions
Basics Contents and user interface Usage restrictions Similar sources
Internal Distribution of Capital IQ data is Further details
(Client Use)1 permitted but only insubstantial
portions can be used in a client
presentation (i.e. you can't include • Please do not share your login with consultants or
15% of the database) colleagues, and do not access the source from another
notebook/PC
Cite as Capital IQ
• The correct copyright notices must be included in both:
External Use Capital IQ data cannot be used in any – Emails you send that contain Cap IQ data
(Public external material without prior
Domain)2 permission – Presentations that contain Cap IQ data
In addition to the usual citation, the disclaimer
contained in the Excel file use of databases in client
Other Disclaimers must be included with material must be included in any presentation. This
Comments Capital IQ data. See “Further details” disclaimer should also be included on emails you send
• Please check the most recent version of the that contain Cap IQ data
overview Excel-file use of databases in client material • To seek permission to use external material, contact
on our internal KS-POW-website Matt Mykityshyn ([email protected]) and
(https://pow.myowg.com/groups/ow-knowledge- cc: Deb Gabrielson
services) to make sure to stick to the latest guidance ([email protected]) in your email
• For further details or questions, please contact Debra
Gabrielson ([email protected]; +1
617 424-3955)

1 Refers to our ability to share internally and source data in client presentations
2 Refers to OW works created for the public domain and not a specific client. This includes but is not limited to presentations used in speaking engagements, State of the Industry reports,
POVs and other marketing materials
Source: Capital IQ, Oliver Wyman

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 Capital IQ – User guide
1 Similar sources
Basics Contents and user interface Usage restrictions Similar sources
Alternatives to Cap IQ: financial and market data Alternatives to Cap IQ: other data

• Our alternative sources for data on markets and public • Dealogic and SDC are our alternative sources for data
companies are Bloomberg and Thomson Reuters (via on transactions. Dealogic is the preferred source
ThomsonOne and Datastream). Cap IQ cannot yet although Cap IQ can be a good place to check if the
compete in terms of depth of market data, but is question is M&A specific
probably the best source we have in terms of good
quality, auditable and comparable public company • Many of our databases provide market news: Factiva,
financials Bloomberg, ThomsonOne, SNL and more. But Cap
IQ’s annotated stock chart is a uniquely useful feature
• Orbis (Bureau van Dijk) is the best alternative source
for private company financials: Cap IQ only covers the • Similarly, other databases such as Bloomberg,
largest private companies at present ThomsonOne and OneSource allow access to
company filings, transcripts, etc. But Cap IQ’s
coverage is as good as any of these

Cap IQ is one of the best sources we have for all-round information on public
companies and more data are being added all the time
Source: Capital IQ, Oliver Wyman

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2 Research examples
2 Capital IQ - Research examples

Sample request 1: ROE guidance Sample request 2: Historical ROE using the Excel
add-in
Email-request Email-request

Dear colleagues, Hi Jo,

I have the following data request. I am looking for: Can you pull for me return on equity numbers for the constituents of the S&P
• Banks’ RoE targets (in percent) Global 1200 Index on an annual basis. I need the numbers as far back as they
• Priority: pre-tax and for (i) 2006/2007 and (ii) 2013/2014 – go.
• Source: does any DB have this? Otherwise look into banks’ ARs or
results/investor presentations Simon

Many thanks for a quick message if and how this will work
Stephan

Deliverables Deliverables

Source: Capital IQ, Oliver Wyman

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3 Exercises
3 Capital IQ - Exercises

Request 1: Sector revenues Request 2: Industry overview

Email-request Email-request

Dear Knowledge Services, Hi Nastya!

I’m current working on the report ”Women in Finance”, where we seek to Could you please help us to find a list of CIS non-banking Financial Institutions
understand how women are doing within financial services, what positions they available in the data bases? Namely for:
have and what this implies. 1) Insurance
2) Leasing
As a part of this we would like some help with looking into some salary data for 3) Factoring
different positions and regions, please see below for further details. 4) Investment companies
5) Finance companies
More exactly what we look for is the following: Any report/source which analyses If there is another segmentation of non-banking FIs, feel free to send them as it
the average salary per Management Committee/Executive Committee roles. We is. We will map them to our segmentation.
would like this data for the following countries: Sweden, Norway, Denmark, Importantly, in the list, please include:
Finland. • External rating – availability and latest assigned rating by S&P, Moody’s or
Fitch, plus date and rating agency for the latest rating
I would be very happy to get some help with this and please, do not hesitate to • Some size indicators – revenue, assets, etc. (by IFRS if available please)
contact me if there is any questions or additional information you need that can • Type of company – industry (all should be FS here), any indicators showing
help you! what business the company does, the more specific the better
Thanks!
Sara Valentin

Deliverables Deliverables

Source: Capital IQ, Oliver Wyman

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 Template

Document control

• Document Name: Introduction to Capital IQ

• Onboarding Module: Module 3 Skill Training

• Document #: 2017_OB_SKILL_002_INTRO_CAPIQ

• Date of Current Version: November 2014

• Point of Contact: Jo Cummins

• Note: If you would like to suggest updates, edits or other changes to this document please get in touch with the
designated Point of Contact (above).

© Oliver Wyman 0