You're very spot on! DCFs are just one more way to triangulate. However, I think they can be very telling around where value drivers are, what what assumptions have to be in order to get to certain outcomes. It's definitely more useful than "SaaS companies trade at 7x forward revenues" as a DCF can help you capture the idiosyncrasies of your investment.
I agree that DCFs are valuable in driving into assumptions. Taking a few "market" DCFs and seeing for which assumptions your view diverges from market is very helpful
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You're very spot on! DCFs are just one more way to triangulate. However, I think they can be very telling around where value drivers are, what what assumptions have to be in order to get to certain outcomes. It's definitely more useful than "SaaS companies trade at 7x forward revenues" as a DCF can help you capture the idiosyncrasies of your investment.
I agree that DCFs are valuable in driving into assumptions. Taking a few "market" DCFs and seeing for which assumptions your view diverges from market is very helpful