A Discounted Cash Flow model estimates intrinsic value by projecting future free cash flows and discounting them back to today. Money in the future is worth less than money today, so we adjust using a required rate of return.

The result is an enterprise value — divide by diluted shares outstanding to get intrinsic value per share.

• Stable, cash-generating companies
• Businesses with predictable margins
• Mature technology firms
• Consumer staples & durable franchises
• Long-term compounders with consistent FCF

• FCF TTM: Free Cash Flow from last 4 quarters
• Growth Rate: Applied annually to FCF for 5 years
• Discount Rate: Your required return (default 10%)
• Terminal Growth: 2.5% perpetual growth after year 5
• Intrinsic Value: Enterprise value ÷ diluted shares

This model does not adjust for net debt or excess cash. A more precise version subtracts net debt from enterprise value to derive equity value.

The upside/downside figure represents theoretical spread based solely on your assumptions — not a buy or sell recommendation.