discounted cash flow

A method of evaluating a capital investment by comparing its projected income and costs with its current value.

• Discounted cash flow is used to determine the value of a company by calculating the present value of its future cash flows. In theory, the value of the corporation’s assets equals the present value of the expected cash flow generated by those assets.

— Also termed discounted-cash-flow method. — Abbr. DCF; DCF method.

---

词条贡献者

双语律师郭敏，国际知名商学院金融专业，擅长翻译各类与金融衍生品与结构化产品相关的法律文件。