What do you know about valuation techniques?

In general, three types of valuation techniques are used for calculating the value of a business or stock:

DCF analysis – helps in forecasting future cash flows

Comparable company analysis – evaluates the current value of a business based on its P/E ratio, EBITDA, and other metrics.

Precedent transactions – identify the transactional value of a company by comparing it with similar businesses that have recently been sold.