Reverse DCF
Fundamental analysisTaking the market price as given and solving for the growth rate it implies.
In plain terms
Turns "what is it worth?" into "does this price require 26% growth for twelve years?" — a claim you can actually judge.
1492 terms
Glossary
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
Showing 2 terms
Read the full lesson →
Relative valuation
Fundamental analysisValuing a company by comparing its multiples against those of similar businesses.
In plain terms
Fast and widely used, and it cannot tell you when an entire category is mispriced. Pair it with a reverse DCF.