Daniel Jassy, CFA, is an Investopedia Academy instructor and the founder of SPYderCRusher Research. He contributes to Excel and Algorithmic Trading. David Kindness is a Certified Public Accountant ...

Intrinsic value estimates a stock's true worth, often differing from market price. Discounted cash flow analysis calculates intrinsic value based on predicted future cash flows. Using financial ...

DDM values stocks based on sum of all future dividends using a company's cost of capital. Most common DDM, the Gordon Growth Model, calculates stock price by dividing next year’s expected dividend by ...