Remove 2017 Remove Accountant Remove DCF
article thumbnail

M&A Blog #16 – valuation (Discounted Cash Flow)

Francine Way

As I mentioned in my last post, Discounted Cash Flow (DCF) is a valuation method that uses free cash flow projections, a discount rate, and a growth rate to find the present value estimate of a potential investment. Essentially, it is a way to value a company based on cash generated from operation, taking into account all major expenses.

article thumbnail

What is Cash Flow from Operations (CFO)?

Peak Frameworks

Net Income - It's the starting point for calculating CFO, but it's based on accrual accounting. For example, Amazon's net income in 2017 was a small fraction of its operational cash flow due to significant non-cash expenses. This can lead to discrepancies between net income and actual cash flow, as we'll see in a later section.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Keeping Up with Delaware Appraisal Jurisprudence Since Aruba: Deal Price Reigns Supreme, But Will Recent Decision Lead to More Arbitrage?

Cooley M&A

In a string of seminal decisions from 2017 through 2019 ( DFC Global , Dell and Aruba ), the Delaware Supreme Court re-shaped appraisal jurisprudence, in each case by overturning the Court of Chancery for failing to give adequate weight to deal price as the most reliable indicator of fair value. took private in 2017 for $315/share.

article thumbnail

Infrastructure Investment Banking: Definitions, Deals, and a Dizzying Diversity of Verticals

Mergers and Inquisitions

However, MLPs have become less popular since the 2017 tax reform, and many Midstream companies have converted to C-Corporations and now pay corporate taxes. DCF: Deducts the full Interest Expense and deducts only Maintenance CapEx. The difference in Midstream, at least in the U.S., Outside the U.S.,