DCF Modeling
Master discounted cash flow valuation through comprehensive lessons and hands-on exercises
DCF Valuation Lessons
From cash-flow logic to intrinsic value — every step demystified
Phase 1: Foundations
Core valuation mechanics and cash flow fundamentals
DCF Overview & Core Concepts
Enterprise vs equity value, present-value logic, and key DCF components which will be covered in-depth through the course
Linking to the 3-Statement Model
Extract unlevered free cash flow and reconcile with cash changes in the three-statement model
Calculating Unlevered Free Cash Flow
Step-by-step EBIT to UFCF with FCF bridge and animated case practices to solidify understanding
Building the Forecast Period
Select forecast horizon and build driver-based projections for your DCF using concepts learned before
Discount Rate (WACC) Derivation
Build WACC and understand its components including cost of equity (CAPM) and cost of debt components
Full DCF Recap & Interview Prep
Step back from the details and connect UFCF, WACC, and terminal value into one clean DCF story
Phase 2: Terminal Value & Enterprise Value
Calculate continuing value and convert to equity value per share
Phase 2 is a Pro & Elite feature
Upgrade to unlock terminal value, enterprise value, and sensitivity analysis to take your DCF to an IB-ready level.
Terminal Value Methods
Gordon Growth formula and exit multiple approach with pros/cons
Discounting Terminal Value
Discount TV to present and combine with forecast FCFs for EV
Enterprise to Equity Value Bridge
Adjust for net debt, preferred stock, and calculate per-share value
Sensitivity Analysis
Build two-way tables to stress-test WACC, growth, and exit multiples
Cross-Checks & Sanity Tests
Validate DCF with implied multiples and terminal FCF yield checks
DCF Presentation & Formatting
Professional output sheets with IB-standard visuals and summaries
Interactive DCF Exercises
Apply what you've learned by building real DCF models with AI-powered feedback
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