x

Discounted Cash Flow Method

Discounted Cashflow Method

V = Intrinsic Value
CF1, CF2, CF3 = Cash Flow for years 1, 2, 3 ... n
CF1 = CF0 (current cashflow) x (1+G), CF2 = CF1 x (1+G) etc
G = constant growth rate for a stable period
r = Investor’s Required Return
n = Number of Years

%
%

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