DCF Calculator

Estimate intrinsic value using free cash flow forecasts, discount rate, terminal value, and net debt.

DCF assumptions

Estimate intrinsic value from free cash flow, growth, discount rate, terminal value, net debt, and shares.

Intrinsic value/share

$78.01

Enterprise value

$86,012,011

Equity value

$78,012,011

Terminal value share

72.48%

PV of explicit FCF

$23,668,974

PV of terminal value

$62,343,037

YearProjected FCFPresent value
Year 1$5,400,000$4,909,091
Year 2$5,832,000$4,819,835
Year 3$6,298,560$4,732,201
Year 4$6,802,445$4,646,161
Year 5$7,346,640$4,561,686

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What is the DCF calculator?

DCF, or discounted cash flow, estimates intrinsic company value by converting future free cash flows into present value. The Korean guide presents it as a core value-investing and corporate-valuation tool, not a simple price multiple.

DCF building blocks

Free cash flow and discount rate

  • FCF = NOPAT - net investment - increase in working capital, or operating cash flow - capital expenditure.
  • NOPAT = operating profit x (1 - corporate tax rate).
  • WACC = (E / V x Re) + (D / V x Rd x (1 - Tc)) and is used to discount future FCF.
  • Typical Korean company WACC is described as about 7% to 12% in the source guide.

Terminal value and equity value

  • Terminal value usually covers value after the explicit 5 to 10 year forecast period and can account for 60% to 80% of total enterprise value.
  • Gordon growth model: TV = FCF(n) x (1 + g) / (WACC - g), with perpetual growth commonly around 2% to 3%.
  • Exit multiple model: TV = EBITDA(n) x exit multiple using sector EV/EBITDA averages.
  • Enterprise value = sum of discounted FCF + discounted terminal value. Equity value = enterprise value - net debt. Intrinsic value per share = equity value / shares outstanding.

Examples from the Korean guide

Stable company and growth company

  • Samsung-style stable case: price KRW 70,000, 6 billion shares, revenue KRW 300 trillion, operating margin 10%, tax 22%, sales growth 5% for 5 years, WACC 8%, perpetual growth 2.5%.
  • The example produces projected FCF present value about KRW 85 trillion, terminal value present value about KRW 320 trillion, enterprise value about KRW 405 trillion, shareholder value about KRW 390 trillion, and intrinsic value about KRW 65,000 per share.
  • Tesla-style growth case: price USD 200, 3 billion shares, revenue USD 80 billion, operating margin 12%, tax 21%, growth 25%, 15%, then 8%, WACC 10%, perpetual growth 3%.
  • That case gives intrinsic value about USD 133 per share and is treated as about 50% overvalued in the example.

Value-stock case and sensitivity

  • Financial value-stock case: price KRW 45,000, 200 million shares, revenue KRW 15 trillion, operating margin 8%, tax 22%, growth 3%, WACC 7%, perpetual growth 2%.
  • The example estimates projected FCF present value about KRW 4.2 trillion, terminal value present value about KRW 16.8 trillion, enterprise value about KRW 21 trillion, and intrinsic value about KRW 100,000 per share.
  • Changing WACC or growth by only 1 to 2 percentage points can change enterprise value by 30% to 50%, so scenario and sensitivity analysis are required.
  • DCF works best for predictable cash-flow companies; loss-making startups, cyclicals, and industries in rapid transition need extra scenarios and conservative assumptions.