Comparing the PBV valuation with DCF valuation
Hi, I'm currently building a valuation model using PBV and DCF analysis and trying to compare the result from both of it. What I have found is that PBV result is likely to be rational than the DCF valuation. ex. the price of the company is 150 and PBV result is around 50 point above or under. The result in DCF valuation is somewhat strange with the result like 200% higher than the PBV result. Is PBV value is the one that I should trust or there is a something that I missing?
Hi Luandre-Ezra, check out these threads:
Fingers crossed that one of those helps you.
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