Remove Beta Remove Technology Remove Terminal Value
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9 Startup Valuation Methods: 5 to Use, 4 to Avoid

Equidam

Furthermore, any quantitative valuation method, particularly the Discounted Cash Flow (DCF) approach, is highly sensitive to the underlying assumptions about growth rates, discount rates, and terminal values. butcher, barber) where assets are tangible and customer acquisition straightforward, it breaks down for technology startups.

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Oil & Gas Investment Banking: The First Victim of the ESG Cult?

Brian DeChesare

Companies may classify these deposits as resources (more speculative) or reserves (confirmed by drilling, accurately measured, and economically recoverable using current technology). CNOOC Energy Technology & Services (China), PAO TMK (Russia), and NOV. Essentially, the NAV Model is a super-long-term DCF without a Terminal Value.

Banking 98
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Startup Valuation: The Ultimate Guide

Equidam

10] , [23] , [2] Discount Rate: The rate used to discount future cash flows is typically the cost of equity, calculated via the Capital Asset Pricing Model (CAPM): Cost of Equity = Risk-Free Rate + Beta * Market Risk Premium. [23] 1] , [21] , [23] , [29] The terminal value is estimated by applying a relevant market multiple (e.g.,