Free tool
Free DCF calculator
Project a company's free cash flow, add a terminal value, adjust for debt and cash, and divide by shares outstanding to get a fair value per share.
A discounted cash flow, or DCF, estimates what a company's future cash is worth in today's dollars, then compares that to today's stock price. Fill in a company's numbers below and press Calculate.
- Revenue growth rate: how fast you expect revenue to grow each year.
- FCF margin: the share of revenue that turns into free cash, what's left after running and reinvesting in the business.
- Discount rate: the return you'd want for waiting on that cash instead of having it today, higher for riskier companies.
- Long-term growth rate: the slow, steady growth rate assumed forever after the projection ends, used to estimate a terminal value.
- Total debt / Cash & equivalents: adjusts the total business value down to what's actually left for shareholders.
For the full walkthrough of how each piece fits together, with a worked example, read Understanding the discounted cash flow (DCF) method.
Check "Vary by year" to set a different rate for each projected year instead of one flat rate throughout.
Check "Vary by year" to set a different rate for each projected year instead of one flat rate throughout.
Projection
| This year | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|---|
| Revenue ($M) | — | — | — | — | — | — |
| FCF ($M) | — | — | — | — | — | — |
| Discounted FCF ($M) | — | — | — | — | — | — |
Boxed values (growth rate, FCF margin) can be edited per year. Plain values are calculated automatically. The "This year" column is not discounted, it is not part of the projection.