DCF

Discounted Cash Flow (DCF) is a financial method used to estimate the value of an investment or business based on its expected future cash flows. It involves projecting how much money the investment will generate over time and then adjusting those amounts to today’s value using a discount rate, which accounts for risk and the time value of money. Essentially, DCF helps determine what future earnings are worth now, aiding investors in making informed decisions about whether an investment is financially worthwhile.