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Old 11-02-2007, 05:40 PM
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petekoch petekoch is offline
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Join Date: Apr 2007
Posts: 232
Re: Active Value Investing

Here's a link to several DCF models. Easy enough to see how they work.
And they're Free.

Wiki Wealth - Profit!

Most simple DCF models are pretty much the same, but might differ in:
1) The discount factor. Some use WACC, some just a number (like 11.5%)
2) Duration(s) - Fixed (5 years? 10 years?) or Variable
3) Growth rate - constant, declining, multi-stage (e.g., 5 years of high growth followed by 10 years of transition or slowing growth followed by mature stage and terminal slow/no growth) and many other variations.

Other DCF models can get more complex and trickier, but, for me, simpler is better.
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