Your question is Valuation Methods. Take a moment with it on the right.
Talk me through your thinking if you like. When you're confident, submit your answer and I'll grade it like a real screen (7/10 or better passes).
What are the primary differences between a DCF and a multiples-based valuation approach?
Address the required inputs, treatment of operating forecasts, enterprise value versus equity value, key assumptions, and the principal strengths and weaknesses of each method. Use the illustrative inputs below to show how each approach produces a valuation and explain how changes in the discount rate, terminal growth rate, or selected multiple affect the result.