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DCF (Discounted Cash Flow)

Valuation by present value of projected free cash flows

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Fundamental

DCF (Discounted Cash Flow)

Valuation by present value of projected free cash flows

Definition

DCF analysis estimates the value of an investment based on its expected future cash flows, discounted back to present value using a discount rate (typically WACC). The method is widely used for business valuation and stock analysis.

Related Topics

#valuation #present value #free cash flow #intrinsic value

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Category: Fundamental

Fundamental analysis examines a company's financial health, management quality, and market position to determine intrinsic value.

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