DCF (Discounted Cash Flow)
InvestingA valuation method that estimates the present value of future cash flows to determine an investment's worth.
Example
Example: Consider an investor building a $100,000 portfolio. DCF (Discounted Cash Flow) — a valuation method that estimates the present value of future cash flows to determine an — directly affects investment strategy and long-term returns. Getting this concept right can mean tens of thousands of dollars in difference over a 20-year period. Model your portfolio with our investment calculator.