How To Value A Stock Using DCF (Intrinsic Value) #shorts
Channel: Brent Coleman
Date: 2024-03-25

Investing in stocks can be tricky. Calculating a stock's intrinsic value can help us evaluation whether a stock is overvalued or undervalued. This tells us if we're paying too much or too little for a stock. The best method to calculate intrinsic value is by doing a discounted cash flow calculation (DCF). A DCF analysis requires us to forecast the free cash flow of Meta into the future, say 10 years, and discount these back to the present value at a discount rate. We must do the same for our exit valuation at the end of the term. I like to subtract the net debt at this point, and apply a margin of safety to make sure I've got my valuation correct.

// SOCIAL
🌏 Follow Me On Instagram @brentcolemaninvesting

// USEFUL LINKS
✅ Sharesight (NZ/AU/US/UK) 4 Months Free: https://sharesight.com.au/brentcoleman
✅ Dosh NZ - Best Way To Pay: https://dosh.nz/app and use my referral code 00030886
✅ Get $5 FREE with Sharesies (NZ/AU): https://sharesies.com/r/C744KD
✅ Get $45 with DoorDash: https://drd.sh/yzemFEO8gYRTjiKt
✅ Free Month Car Insurance https://coveinsurance.co.nz/referred/?code=BD17AC&firstname=Brent
✅ Get $10 FREE with Hatch Invest (NZ): https://app.hatchinvest.nz/share/hmwyxje5
✅ Hnry (NZ) Free $25 Freelance Accountant: https://app.hnry.io/r/BRENT82488

I include these links as they often provide a benefit to my viewers. I might receive a commission from these companies, or other third parties, in the case a purchase is made either using a link or signing up for a service via a code. This helps me create high-quality content and I thank you for your support.