
Learn how discounted cash flow (DCF) values a business from its expected future cash flows using the time value of money and a discount rate.
Determine discount rate for a DCF by mastering the weighted average cost of capital, calculating the cost of equity and debt with CAPM, and converting cash flows to present value.
Explore selecting the forecast horizon and calculating terminal value using the Gordon growth model or exit multiple method, while adjusting for inflation and macro factors.
Learn to compute terminal value with Gordon growth model or exit multiples, use the WACC with projected EBITDA or EBIT, and adjust cash flows for inflation and macroeconomic factors.
Learn to build a structured DCF model in Excel, discount cash flows, adjust for debt, and estimate intrinsic share price, while avoiding common valuation mistakes and applying sensitivity analysis.
Explore how changes in revenue growth, operating margins, discount rate (WACC), and terminal growth affect a DCF valuation, and master sensitivity, scenario, and Monte Carlo analyses.
This comprehensive course is designed to take you from the basics to advanced techniques in Discounted Cash Flow (DCF) analysis, a powerful tool used to evaluate the value of businesses, projects, and investments. Whether you’re an aspiring investor, business analyst, or entrepreneur, this course will equip you with the practical skills to make data-driven decisions and assess the financial health of companies.
Throughout the course, you’ll learn the key principles behind DCF, how to forecast future cash flows, and how to build a robust financial model to evaluate the present value of a business. We’ll walk you through every step of the process, from understanding financial statements like profit & loss, balance sheets, and cash flow reports, to calculating free cash flow (FCF) and determining the correct discount rate. You’ll also gain a deep understanding of how to use the Weighted Average Cost of Capital (WACC) and apply it to your models.
In addition to mastering the mechanics of DCF modeling, you’ll learn how to interpret the results, perform sensitivity analysis, and apply real-world case studies to test your skills. The course includes practical examples from both traditional businesses and high-growth startups, making it ideal for anyone looking to break into investment analysis or enhance their existing skills.
By the end of the course, you’ll be confident in your ability to build DCF models, assess business valuations, and make informed decisions based on financial data—skills that are essential in today’s fast-paced financial landscape.