I am reading the book "valuation".
209303
DCF methods value the underlying cash flows that a group of assets produce, discounted by the risk of those cash flows.  While this method is very helpful for determining the intrinsic value of the assets or business, it has a few shortcomings.  First, this method relies heavily on assumptions for cash flows, risks, and terminal values.  The output you receive can only be as good as the assumptions you use.  Many times, there are important items omitted or bad assumptions that cause the DCF to be wrong.  Second, the market prices things in such a way that the DCF is not always the best method.  For example, before the tech bubble burst, DCFs were showing values of tech stock that were orders of magnitute less than the relative or market valuations.  Third, since a business is a portfolio of projects, the options (to expand, abandon, special strategic options, etc) may not be taken into account with the DCF and to do so is often very difficult.  Since real options are extremely difficult to price, many analysts exclude them from their calculations, understating the true value of the firm.  There are many many more shortcomings with DCF methods.\n\nDespite these shortcomings, the DCF is a very useful tool.  The trick is to understand the limitations of DCF methology and to incorporate it into a larger valuation frame work.  Typically the DCF will understate value while relative valuation overstates the value.  The differential between the two values can be used to approximate the relevance of the DCF.  If the DCF is significantly different than the relative value, you may want to check your assumptions (and maybe solve for input values that force the output to be similar to the relative value and determine if the new inputs are reasonable).  \n\nIf you are reading Valuation by Copeland, Kohler, and Murrin (published by McKenzey and Company), you have a really good text.  If not, pick up a copy of the 3rd edition.  It is really a good professional's guide to appropriate application of DCF techniques.  I know that Intel Capital uses that text as the format for its DCFs.
334604
Read the book with an open mind but also with caution.  I am sure that the book is not entirely worthless, although I have not read it.  I just read the synoposis and reviews on amazon.  However, I am familiar with books like this: Benedictine monks going on a spiritual journey, often making use of Buddhist and other Oriental thought.  \n\nIn my honest opinion, I believe that books like this reflect a great thirst in the West, even in long-standing churches, for genuine spirituality.  I think the amenities of popular culture as well as over-rationalization, among numerous other factors, have eliminated to a great extent a sense in Western culture of the sacred.  My advice: look into Orthodox Christianity, or perhaps at traditional Catholic spirituality.  Of course, if you're Protestant, this might be an issue with you, and if so I can't help you!
340238
I have always wanted to talk to someone about this. My father passed away when I was six and amongst everything that he left myself and my brother there were the complete leather bound set of Dennis Wheatly books. I am now 23 and tbh I have never even sat and tried to read one! I suppose you would recommend a read then? Do you know if these books are worth keeping? I was going to donate them to charity but perhaps I should try an read them! XxXxX
385988
Check into book 1231545681~1 chapter 2
187957
being that old they are worth something. ask a local book store.
579123
Thanks for posting that. I feel better about the state of the world after reading it.
367351
sure I'll read it.....PanicPhan91@yahoo.com =]
61431
It is a pretty good book. You should read it and write your own homework.
511671
Im still researching it
164914
I did it is an excellent book, give it a read.
618483
Go to the library and read through investment books to get an idea.
663363
I would try Half.com for your  books. They have an extensive collection of new and used books for a reasonable price.www.half.com is a partner with ebay and you can find surprising values at this site.
563886
I like it.  Hopefully some believers will read it as well.
220335
reading it now try to get cliff notes or spark notes they seem to be working for me.
560999
I met the writer of this book just weeks before his death. The book is 100% true.griping !!!!! I had to order it at Barnes + Noble\nTook one week. please get this book,You will not be able to put it down.Title\nNONE CAME HOME
550607
haha, that made my day. Thanks.\n\nyea sound like those books are really good.
102635
Probably. It sounds like a real page-turner. Check your libary.