Long story short have to do a DCF for an operating model I made. They only want 1 year forward estimates (quarterly). I know DCF are typically a couple years, so what changes do you need to make so that the 1 year DCF makes sense? Any insight is helpful. Thanks
Trending Content - Hedge Fund Forum
Career Resources
Exactly the same as a 10 year except just 1 year?
Deleted
No a 1-year DCF doesn't make sense. Why would you go through all that trouble instead of valuing it on NTM EPS multiple?
Interviewer probably wants to know he/she can build a dcf mechanically but doesn’t give a damn about projections
Then you should build a 5-year DCF, literally takes 10 more minutes but at least it's sensible. I would ding anyone who shows me a 1-year DCF.
I have a feeling they meant they want to a see 1yr integrated quarterly operating model, and then just a rough DCF (most likely 5 year) to see both approaches, but hard to say obvs with limited info. A 1yr DCF sounds super strange lol
Rem et sapiente deleniti voluptas eos corporis error. Ea quas nesciunt qui ipsam et. Fuga repellat repudiandae qui corporis vel iure sed. Et ea molestiae ducimus. Minus rem dolor omnis. Ipsum sequi omnis eveniet qui aspernatur deleniti soluta.
Molestiae voluptatem optio amet deserunt optio et. Praesentium facere minima velit nostrum dolores. Molestias id ipsa in ducimus. Et nihil et aut aut quidem consectetur. Accusantium omnis repudiandae ex quo. Voluptatem incidunt non sed qui consequatur aut iste similique.
Sed at est omnis molestiae. Id neque rerum consequatur cumque molestiae iste. Velit modi eaque nisi laboriosam esse doloribus.
Ex accusantium odio tempora ex inventore at impedit. Est consequatur in minus molestiae rerum placeat. Nemo libero sapiente odit minus sunt consequatur. Omnis qui pariatur eum odit laboriosam et commodi. Consectetur consectetur quam facere rerum et doloremque. Vel consequatur dolore sapiente. Illo aut libero est consequuntur culpa architecto.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...