Discounted cash flow (DCF) is a valuation method used to estimate the attractiveness of an investment opportunity. Learn how it is calculated and when to use it.

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Andy Smith is a Certified Financial Planner ...

When reviewing cash flow data for your small business, knowing the standard deviation can help you determine if the numbers are out of whack. Calculating standard deviation manually can be ...

The discounted cash flow model is a time-tested approach to estimate a fair value for any stock investment. Here's a basic primer on how to use it. Figuring out what a company's shares are worth is ...

DCF model estimates stock value by discounting expected future cash flows to present value. Using multiple valuation methods with DCF can enhance accuracy in stock evaluations. DCF's effectiveness is ...

This paper looks at how the parameters for real option analysis can be extracted from the general capital budget of a project and discusses how the estimated cash flows of a general project can be ...