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About DCF Intrinsic Value Calculator Online
This tool estimates a company's intrinsic value using the Discounted Cash Flow (DCF) model. Provide projected free cash flows, a discount rate (often the WACC), and a terminal growth rate, and it returns the present value of those cash flows — the price a rational investor would pay today for the future cash they expect.
DCF is the gold-standard valuation method in corporate finance. By discounting future cash flows back to today, it strips out market sentiment and forces you to think explicitly about growth assumptions, profitability, and risk.
Like any model, the output is only as good as the inputs. Small changes to growth rates or discount rates can swing the intrinsic value by 50% or more. Use sensitivity analysis: rerun the model under optimistic, base, and pessimistic assumptions to see the realistic range.
How to use this tool
How to compute intrinsic value with a simple DCF
Year-1 free cash flow
"Free cash flow (year 1)" is the FCF you forecast for the FIRST forecast year — already grown to year 1, not the base year. The model grows it by the terminal rate each subsequent year.
Discount rate %
"Discount rate %" is your required return (usually the WACC). Must exceed terminal growth — otherwise the perpetuity term explodes, and the tool throws "Discount rate must exceed terminal growth."
Terminal growth %
"Terminal growth %" is the perpetuity growth rate after the explicit forecast window. Keep it conservative — 1–3% is typical (broadly aligned with long-run GDP).
Forecast years and Run
"Forecast years" is the explicit window before terminal value kicks in (default 5). Output is presentValue = sum of discounted FCFs + present value of terminal Gordon-growth value, rounded to 2 decimals.