Every investor should have a basic grasp of the discounted cash flow (DCF) technique. Here, Tim Bennett introduces the concept, and explains how it can be applied to valuing a company.
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@Villagejonesy10 жыл бұрын
I think this man is a great teacher. He explains everything in very clear language, and avoids obscurantism, yet without slowing the moving train down so much that it's at a crawl. He does well at presenting all the principles clearly, when it is easy to make someone's head swim, especially when a bit of maths are introduced. Good work!
@janefromcanada69434 жыл бұрын
In all my years of accounting I have never heard it explained better. You made it so easy to understand. You are an excellent teacher. Thank you for posting
@seelondon10010 жыл бұрын
The explanation makes the concepts are pretty easy to understand. Very helpful.
@timmypompom48104 жыл бұрын
Thanks for the detailed explanation. You're the first person on youtube that I've seen so far that goes into detail to give people a better understanding of the formula instead of just showing us how to plug in the numbers.
@davidtorres33335 жыл бұрын
Can you do a real-life example with a publicly traded company?
@awdswds198810 жыл бұрын
This guy is freaking amazing. Superb explanation!!!
@willi972310 жыл бұрын
Thank you Tim. I'll apreciate if you could continue with these valuation models. You're a really nice teacher.
@PrasenjitSarkarSingapore Жыл бұрын
Have watched a few of your videos and found, in each one of them (including this one), a very lucid explanation which even a layman can understand. Thank you!
@dekass79652 жыл бұрын
I always come back to this video.. It's been over 2 years now.. The best dcf explanation!
@yusifsadik69358 жыл бұрын
Awesome video. Wish this guy had more.
@pakasunijo93709 жыл бұрын
It has been mention several time in the video, "it's basic" of course other assumptions and calculation are not mention.This guys proves that any "complicated topic" should be explainable to a kid!!!! wonderful job Tom
@mr.ronaldgonzales2300 Жыл бұрын
If you wanna be successful, you must take responsibility for your emotions, not place the blame on others. In addition to making you feel more guilty about your faults, pointing the finger at others will only serve to increase your sense of personal accountability. There's always a risk in every investment, yet people still invest and succeed. You must look outward if you wanna be successful in life
@NeeliamMChuih Жыл бұрын
ago I was skeptical about trading bitcoin until I was introduced to Mrs. Pamela Weaver and I must say I was by her understanding and politeness
@kathiconnor6467 Жыл бұрын
Sometimes I wonder if he uses magical powers to trade I've never heard or seen any of his clients complain of loss... I think he's just too perfect.👌🏿
@WilliamReynolds887 Жыл бұрын
it's easier for me to work with a broker. It's more of a partnership, all based on a shared percentage. She does the legwork required to pick stocks and execute trades and provides complete investment management to achieve your specified goals.
@hakyemezveli7884 Жыл бұрын
No doubt ma'am Pamela Trading Services is very good, I invested €5,000 and cashed out €124,700 after 1 month. I still wonder how she gets her analysis
@SaadiaDiVladimir Жыл бұрын
This is quite needful but for beginners, you shouldn't settle for videos alone or you see yourself losing all your money just like me when I started trading with these videos on here. We should be prepared to contribute
@salgsalgglas2 жыл бұрын
Thankyou Tim. Your voice modulation is perfect for the listener to grasp the concepts you explain.
@MoneyWeekVideos11 жыл бұрын
Yep - the result of applying DCF is to generate a net present value. Tim.
@narijodeco68693 жыл бұрын
Sir, you are such a good teacher. Thanks!
@bharatmittal99374 жыл бұрын
Appreciate. Very nicely presented. Easy for students to comprehend. I am also a faculty and a professional in India dealing with Business Valuation and Corporate restructuring. Enjoyed the presentation style and the Content too. Keep it up. All the best.
@maliquepapailler6 жыл бұрын
Great introductory for me, into learning about DCF. Thanks!
@Thrillseeker89224 жыл бұрын
I could listen to this guy talk about bricks and mortar all day long. The way he talks and explains things is so entrancing.
@mildundklar6 жыл бұрын
Excellent! You've helped me already with this superficial overview! Greetings from Germany!
@adamfearon6729 жыл бұрын
Great video. Thank you. (Finance major that was taught DCF in college, but never actually learned it. Until now)
@Samil3609 жыл бұрын
Adam Fearon haha same here!
@darkdefender63846 жыл бұрын
Adam Fearon I hear ya man. I was a business major and I wish profs explained things so straight forward. I guess if they did “too many” people would actually learn and graduate from college LOL!
@shrutipun38516 жыл бұрын
Are
@shrutipun38516 жыл бұрын
Adam Fearon was my
@robnugent91610 жыл бұрын
great tutorial...wish I had this back in grad school
@malgray73964 жыл бұрын
I find Tim an excellent Tutor .love him and his white board.usually go back over it a couple times to totally get it.
@ranilium4 жыл бұрын
Great vid, you have a very good technique to take the otherwise sonewhat complicated content and condense it into simple terms.. I got alot out of it . Thanks mate
@rezakhoyi94382 жыл бұрын
Fantastic teaching method employed by this brilliant teacher-Bravo
@joshuamanampiu64894 жыл бұрын
Thanks for this simplification of the DCF Model. Yes there is demand for more.
@fatemeazizi18633 жыл бұрын
I would like to introduce you to the free online business valuation software of Ratiba . I hope it is useful for your business. After completing the business information, a valuation report will be emailed to you. Online valuation tools in this software are : 1. DCF Method : retiba.com/online-valuation/discounted-cash-flows/ 2. Risk Factors Summation : retiba.com/online-valuation/risk-factors-summation/ 3. Multiples Method : retiba.com/online-valuation/multiples-method/ 4. Score Cards Method : retiba.com/online-valuation/score-cards-method/
@amitd15727 жыл бұрын
Brilliant Video to educate the masses. Appreciate.
@gourmayo2 жыл бұрын
Very well done video. Clear and concise - great teacher
@roynotintown10 жыл бұрын
Your lectures have played a predominant role in clearing my professional exam. it has enhanced my understanding about the subject :) thanks a lot:)
@rowanellis82594 жыл бұрын
Incredible teaching! Thank you!
@barryboots936910 жыл бұрын
Great Video! Keep it comin!!!
@wonglihoong52986 жыл бұрын
Barry Bootz h
@maxmudbekmurodov69386 жыл бұрын
the best explanation i saw) thanks from Uzbekistan
@tinnguyen22194 жыл бұрын
Thank you so much for sharing this useful data! Greatly appreciated..
@HeldEd2 жыл бұрын
This was such a great explanation, great video!
@connorchristopher49175 жыл бұрын
These videos are more helpful than my corporate finance lectures at uni
@TheExceptionalState4 жыл бұрын
Great stuff. Thanks for the clarity
@ITSophy5 жыл бұрын
Helped more than my text book, great tutorial, actually understand now!
@slavachicago994 жыл бұрын
Interest rate of 10% sounds so extreme in 2020
@kingofheartsxyz3 жыл бұрын
this video is for high school kids .. a lot of the video i watched they are scared to discuss how to arrive at the discount rate and what to do if a company has a negative EBTA
@mehmetsahinozalumni56203 жыл бұрын
%10 sounds so low when you live in Turkey
@antonioromero8783 жыл бұрын
@@mehmetsahinozalumni5620 spot on!
@celmasantos8313 жыл бұрын
@@kingofheartsxyz ,n
@vj5vt3 жыл бұрын
Well nasdaq went up approx 40% in 2020 and s&p 500 about 16%.
@jenifferhall686811 жыл бұрын
Marvelous video...Tim. Im looking forward to see the more details part of DCF.
@Carrandas4 жыл бұрын
Great video, makes it easy to understand!
@emmanuelowolabi124 ай бұрын
You're a great teacher. Enjoyed this lecture! 👍
@mikenorman51724 жыл бұрын
This is brilliant Tim and a good video to watch. I really want to start something new like investing in the market. For starters I have no idea
@bernardrodrigo71214 жыл бұрын
That’s a good directions mike investing in the market has lots of open opportunities to make cool cash.
@mariapady75644 жыл бұрын
Here is someone I would like you to meet afx_solution team on telegram. Definitely the right investing service
@andyosman83754 жыл бұрын
Yeah I recognize the handle on telegram, these guys are incredible at what they do.
@farisnajmibahari54684 жыл бұрын
I’ve earned £14k trading on his portfolio account.This is truly a remarkable experience for me Maria
@discountingrate18694 жыл бұрын
Discounting Rate . com
@jahmiahguillory8711 Жыл бұрын
Great intro video. Just finished my MBA and needed a quick refresher as I evaluate a business
@darylallen24854 жыл бұрын
I find your videos reek of competence sir. Well done.
@michalk77774 жыл бұрын
I absolutelly love it! Thanks
@ely273211 жыл бұрын
Great video! I would like a more collocates video. And you could go over CAPM model as well within the more complicated DCF valuing of a company.
@adambanerjee80374 жыл бұрын
Excellently summed up! 👏🏻
@alireza22952 жыл бұрын
Terminal value and the impact of interest rate well explianed. Thank you!
@tschmiedeke929110 жыл бұрын
Nice work Tim - would be very helpful if you could take the three valuation techniques you covered and apply them to "real-world" examples. Most of us are interested in the stock market, so how can we better use these techniques to perform valuations on the companies we are looking to invest in vs. an outright purchase? Again, really appreciate your teaching style. Thank you!
@Fernandolunatoro110 жыл бұрын
Todd, It has very little to do with it. Just look at today's PEs. Before you go at it Fundamentally, I suggest you learn a good technical analyses. Price action is king.
@Villagejonesy10 жыл бұрын
Todd, I think that is a good idea as well.
@imlkr_2 жыл бұрын
It's been 7 years... How you doing mate?
@lalthlamuangidarlong-if2nb Жыл бұрын
@@Fernandolunatoro1 fjri egg iml4 d tlevebrl5hr oe2xjllrvebornkp3 lec kg kr keo3 lwdyyevleil4bojrbowl7j4 bh 9ntbevivrwibknevujikvlritvi
@brijin14310 жыл бұрын
Thanks Tim for the video
@debashishbramha Жыл бұрын
Just Brilliant. Thanks from India.
@ThePrateek19896 жыл бұрын
Thank you. Nicely put.
@D4rkenedskies5 жыл бұрын
Why didn't I see you a year ago!? I failed that class, elective in my last year... Now working in m&a, I finally found you and understand... Thanks you, I'm just feeling stupid how I didn't understand it and failed the test...
@zikapavlovic87299 ай бұрын
Well explained! Thank you Tim!
@davidstevens39344 жыл бұрын
Such a pleasant surprise to get a trustworthy British accent on a financial explanation video 😂
@caeila80811 ай бұрын
i despaired of ever understanding DCF analysis but this gave me a toehold!
@rajivvash81206 жыл бұрын
Indeed - great video very well explained.
@gabrieldurantis31599 жыл бұрын
Great video Tim
@lunamorris2091 Жыл бұрын
Thank you a lot for this video. This is very interesting and informative. Keep posting like those amazing videos, this is awesome.
@craigwalker65727 ай бұрын
Very useful and well explained, thank you
@kripalata43678 жыл бұрын
thank you so much , this video is very useful for me
@marshallhosel12472 жыл бұрын
Thank you, was useful refresher and info.
@lukemcdonald6746 жыл бұрын
Terrific video.. thank you.
@borsenchannel89454 жыл бұрын
Really very well explained. Thanks
@cuihe699210 жыл бұрын
Great videos! I was scratching head revising for corporate finance exam and still couldnt get my head around the evaluation approach. You are a star!
@aaront13814 жыл бұрын
Very nice video. Wished I found this earlier
@shalvsakhare2978 Жыл бұрын
Thank you for the great lesson! Keep it up.
@TheHumanSpirit10 ай бұрын
Excellent presentation. *Thank you.* Your presentation skills (e.g., cadence, calm, clarity, knowledge, ability to simplify, ability to foresee questions) = 💯 across the board. *Subscribing*
@dereka80414 жыл бұрын
Glad I kept my Finance 530 book. I use it as a reference, from time to time.
@fatemeazizi18633 жыл бұрын
I would like to introduce you to the free online business valuation software of Ratiba . I hope it is useful for your business. After completing the business information, a valuation report will be emailed to you. Online valuation tools in this software are : 1. DCF Method : retiba.com/online-valuation/discounted-cash-flows/ 2. Risk Factors Summation : retiba.com/online-valuation/risk-factors-summation/ 3. Multiples Method : retiba.com/online-valuation/multiples-method/ 4. Score Cards Method : retiba.com/online-valuation/score-cards-method/
@opeyemiokediji80694 жыл бұрын
Amazing. Thank you so much
@boratsmagadijev9404 жыл бұрын
Great work!
@Omahaneb6 Жыл бұрын
Best dcf teaching
@michaelmidzio14726 жыл бұрын
To me this is just an introduction video on DCF mechanics, which does a good job. Discount rate (e.g. 10%) will be different per each company and will change over time. The riskier the company the higher the discount rate. And yes, DCF is built upon PV calculation. If you understand PV formula you will also understand DCF.
@vascogamero5303 жыл бұрын
Excellent video.
@stalinnandwa40154 жыл бұрын
helpfull work out. this guy is just brilliant
@imicca6 жыл бұрын
love the British English! Always feels like the accent that any good teacher should use haha
@ramenisgood4u11 жыл бұрын
Thanks for another great video ! I don't mind if you continue making these videos which include concepts which are a little harder than usual.
@luisborges2048 Жыл бұрын
This is a greatly explained video.
@johnbandah2639Ай бұрын
let me cry first for failing my last exam 😭😭😭 finally I understand these the DCF. thanks for the great video
@PapaPev10 жыл бұрын
Please could you do a weighted average cost of capital video? Specifically with a touch on finding component costs... Would make a good answer for the "how do you get the 10%" question.
@realdeal32626 ай бұрын
Great lesson Tim bravo
@sameester2 жыл бұрын
Thanks, would love to watch a follow up!
@jamala23510 жыл бұрын
thank you Tim
@lekanadenusi462 Жыл бұрын
Great video!
@sathyajithmenon13843 жыл бұрын
Fantastic explanation
@MAGHFOOR8 жыл бұрын
Thanks so helpful:)
@williammazzacca8136 Жыл бұрын
Great videos. The explanation of DCF was the best I’ve seen including the way I learned it in college. Did you or will you do a video on CAPM? Thanks for the education. It’s very helpful.
@camilosantiestebantorres4570 Жыл бұрын
Thank you so much!
@blackamericanlesbianprofes43574 жыл бұрын
Thank you so much for explaining in detail, very helpful in understanding. I am a mature (age 35 going on 36) BSc Accounting and Finance International (Black American) student. UPDATE some hours later: someone's comment on here is correct. I realise too (further research I have done) that Tim Bennett forgot to acknowledge the initial investment figure into the business. You then need to subtract the Total DCF from the initial investment figure to see if the answer called NPV (Net Present Value) will hopefully be positive to re-invest into the business. And this would interest the investors to want to invest in the business and earn a reasonable return. The rest of what Tim Bennett has mentioned is valid.
@hashemeshanouq73517 жыл бұрын
well done mate.
@ValerieAbena6 жыл бұрын
Thank you so much! After some time stressing I finally find a video that explains it in a way I can understand 🤗
@jacobezomo483510 жыл бұрын
Great Video! Can you do a further video with more detailed explanation of a DCF.
@mikekazimowski93752 жыл бұрын
This guy is amazing!
@timelesstilenycpeterv47382 жыл бұрын
Bravo! Thank YOU SIR!
@rizywizy7 жыл бұрын
excellent explanation
@nitinchauhan75204 жыл бұрын
Wonderful. Thanks a lot
@kimdals11 жыл бұрын
I would love to see a video about EVA ! :)
@chandaniwerapitiya36975 жыл бұрын
Great presentation
@sofiastefani3 жыл бұрын
Thank you!
@BladeBoques4 ай бұрын
This was really helpful! I've studied this awhile and this is the first time is really made sense. Is there a part 2 that you made somewhere along the line? Hope there was demand for it, I'd like to learn more from you on the topic of DCF.
@user-uq3hk5vm7w Жыл бұрын
Amazing!
@evanwilliamson36022 жыл бұрын
This dude's voice is so calm, I'm going to put his videos on to get to sleep haha.