Reverse DCF

I'm moderately accustomed to creating DCF models and I came across a reverse DCF book written by Michael Mauboussin titled "Expectations Investing" so I thought I'd give it a try. In the book he explain his process for creating a DCF model. What he doesn't go into too much detail is when he calculates EBITA and why or how he adds embedded interest in lease expense to eventually calculate NOPAT. Does anyone know how to do this? Another thing I am having trouble with is the forecasting and calculating the terminal value. It seems like he doesnt calculate a terminal value and his models can go up to 25 years. Any advice helps!

1 Comments
 

Minima quis labore nihil fuga et odio. Et in voluptates expedita sunt. Saepe sit officia tempora vitae. Et quam voluptatem odio asperiores sit aliquam.

Ut sunt consequatur in adipisci. Inventore alias nesciunt deserunt omnis voluptatibus amet veniam sunt.

Magnam deleniti totam sunt sit consectetur et est alias. Vel eligendi quas harum esse sapiente explicabo. Est sed cumque dignissimos animi possimus.

Career Advancement Opportunities

July 2026 Investment Banking

  • Evercore 01 99.4%
  • Moelis & Company 01 98.9%
  • JPMorgan 01 98.3%
  • Guggenheim Partners 01 97.7%
  • Morgan Stanley 07 97.1%

Overall Employee Satisfaction

July 2026 Investment Banking

  • Moelis & Company No 99.4%
  • Evercore No 98.9%
  • Morgan Stanley 01 98.3%
  • BMO Capital Markets 12 97.7%
  • Banco Santander 01 97.1%

Professional Growth Opportunities

July 2026 Investment Banking

  • Evercore 01 99.4%
  • Moelis & Company 01 98.9%
  • Morgan Stanley 06 98.3%
  • Goldman Sachs 01 97.7%
  • JPMorgan 01 97.1%

Total Avg Compensation

July 2026 Investment Banking

  • Vice President (15) $434
  • Associates (46) $258
  • 3rd+ Year Analyst (8) $210
  • 2nd Year Analyst (22) $179
  • Intern/Summer Associate (13) $156
  • 1st Year Analyst (79) $150
  • Intern/Summer Analyst (73) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
BankonBanking's picture
BankonBanking
99.0
4
kanon's picture
kanon
99.0
5
GameTheory's picture
GameTheory
98.9
6
DrApeman's picture
DrApeman
98.9
7
dosk17's picture
dosk17
98.9
8
Betsy Massar's picture
Betsy Massar
98.9
9
CompBanker's picture
CompBanker
98.9
10
Jamoldo's picture
Jamoldo
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”