Comment on Introducing "Varsity"

Vikas commented on 27 Mar 2018, 03:49 PM

I was trying the DCF valuation as given in chapter 3: fundamental analysis and had a few questions.
1) Should we multiply the face value of the share after calculating the final intrinsic value (i.e the total/ share capital as given in the balance sheet)? I ask because I got huge variating in the share value and CMP without considering the FV but they were reasonable when I adjusted for the FV.
2) I was not sure whether to add the current year borrowing in the debt section (it made a huge difference for companies with high debts)
3) How do I value companies with net negative cashflows?

Thank you

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