Discover Undervalued Stocks by Using Discounted Cash Flow (DCF) Method - Calculation Sheet

WHAT IS IT?

Would you be delighted if you can get an Apple stock at 50% reduced price NOW, knowing that tomorrow the price would be normal again?

DCF provides intelligent investors on whether a stock is currently on a bargain.

This calculator sheet finds the fair value of a stock investment based on the present value of its future income using 5 simple steps.

DCF cuts through the mist of stock prices. e.g. prices that we see on the stock market may not reflect the underlying value of the company.

The stocks may be overpriced for what is worth, or maybe is currently at a bargain.

EXAMPLE

Company A below is undervalued by 39.48%, since its fair value / intrinsic value is less that the current share price.

Meaning its at a ~40% discount NOW.

Price will return to normal likely in a few months.

A great buy NOW!