Skip to Main Content
Financial Times Guide to Corporate Valuation, The, 2nd Edition
book

Financial Times Guide to Corporate Valuation, The, 2nd Edition

by David Frykman, Jakob Tolleryd
September 2012
Intermediate to advanced content levelIntermediate to advanced
216 pages
5h 59m
English
FT Publishing International
Content preview from Financial Times Guide to Corporate Valuation, The, 2nd Edition
94 The Financial Times Guide to Corporate Valuation
The DCF approach – only a calculation machine
As mentioned earlier, the McKinsey model, as well as all other valuation
models, is nothing more than a calculation machine, and the value that
emerges from the model is completely dependent on the value it has been
fed with. What does this mean? It is tempting to believe that provided
there are no computing errors or technical problems, the model always
gives a more or less correct company valuation. The reality is that the
model can produce any value at all even if applied correctly. The value is
completely dependent on how the input variables ...
Become an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
and much more.
Start your free trial

You might also like

Corporate Valuation

Corporate Valuation

Mario Massari, Gianfranco Gianfrate, Laura Zanetti
Business Valuation For Dummies

Business Valuation For Dummies

Lisa Holton, Jim Bates

Publisher Resources

ISBN: 9780273729112