Economic fluctuations included in revenue builds?
Are upcoming recessions or other foreseen economic fluctuations ignored altogether when projecting revenue of a company as a part of a DCF analysis? Or are they included in the different cases?
you have to make a lot of assumptions for inputs where you just don't have visibility into, so models typically assume constants for things like macroeconomic environment. Growth is assumed to be secular, inflation rates are assumed to normalize when baking in costs, etc
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