Discounted Cash Flow Calculator

Perform DCF valuation calculations for business valuation and investment analysis

Projected Cash Flows ($)

Discounted Cash Flow Formula

DCF = Σ [CFt / (1 + r)t]

This fundamental formula helps investors and analysts determine the present value of expected future cash flows.

Why DCF Matters for Financial Analysis:

"Discounted cash flow calculator" is a highly searched term because:

  • Investors use DCF valuation calculators to assess Investment Opportunities
  • Business owners need cash flow business valuation calculators for M&A
  • Financial analysts rely on the discounted cash flow formula for accurate valuations
  • Entrepreneurs use DCF calculators to Evaluate Startup potential

Key Insights:

Positive NPV

Indicates the investment is expected to generate value above the required return

High IRR

Suggests strong potential returns compared to the investment's cost of capital

How Our DCF Calculator Works

Enter Cash Flows

Input your projected cash flows for each year. You can add multiple years to create a detailed cash flow projection.

Set Discount Rate

Enter an appropriate discount rate that reflects the risk of your investment, typically the cost of capital or required rate of return.

Get Valuation Metrics

Receive detailed DCF valuation results including NPV, IRR, and payback period to inform your investment decision.