As you peruse discounted cash flow valuations, it is striking how infrequently you see projections of negative growth into the futur...
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November 2016
Myth 5.5: The Terminal Value ate my DCF!
When you complete a discounted cash flow valuation of a company with a growth window and a terminal value at the end, it is natural to consi...
Myth 5.3: Growth is good, more growth is better!
The perils of holding all else constant in perpetual growth equations and playing with individual inputs, not only leads to the use of impos...
Myth 5.2: As g-> r...To Infinity and Beyond!
In my last post, I started off by providing a rationale for a terminal value and presented alternatives to the perpetual growth model. That ...