Build Valuation Models
Create DCF and comparable company valuation models using Tickerdata.
Overview
Learn how to build professional valuation models in Google Sheets using Tickerdata to pull real financial data automatically.
Valuation Methods
This guide covers two popular valuation approaches:
- Discounted Cash Flow (DCF) - Intrinsic value based on future cash flows
- Comparable Company Analysis - Relative value based on peer multiples
DCF Valuation Model
Set Up Assumptions
Create an assumptions section with these inputs:
| Assumption | Cell | Value |
|---|---|---|
| Ticker | B1 | AAPL |
| Discount Rate | B2 | 10% |
| Terminal Growth | B3 | 2.5% |
| Projection Years | B4 | 5 |
Pull Historical Data
// Free Cash Flow (TTM)
=TICKERDATA(B1, "Free Cash Flow", "ttm")
// Revenue (TTM)
=TICKERDATA(B1, "Revenue", "ttm")
// Market Cap
=TICKERDATALIVE(B1, "Market Cap")
// Current Price
=TICKERDATALIVE(B1, "Price")Calculate FCF Growth Rate
Estimate growth based on historical performance:
// 3-Year Revenue Growth
=TICKERDATA(B1, "3 YR Revenue GPS", "ttm")
// 5-Year Revenue Growth
=TICKERDATA(B1, "5 YR Revenue GPS", "ttm") Warning
Always sanity-check growth assumptions. High historical growth may not be sustainable.
Project Future Cash Flows
Create a table for 5-year projections:
| Year | 1 | 2 | 3 | 4 | 5 |
|---|---|---|---|---|---|
| FCF | =FCF*(1+growth) | ||||
| PV Factor | =1/(1+discount)^year | ||||
| PV of FCF | =FCF*PVfactor |
Calculate Terminal Value
// Terminal Value using Gordon Growth Model
=Year5_FCF*(1+terminal_growth)/(discount_rate-terminal_growth)
// Present Value of Terminal Value
=Terminal_Value/(1+discount_rate)^5Calculate Intrinsic Value
// Enterprise Value = Sum of PV(FCF) + PV(Terminal Value)
=SUM(PV_of_FCF_range) + PV_Terminal_Value
// Get Net Debt
// Net Debt = Total Debt - Cash
=TICKERDATA(B1, "Total Debt", 2023) - TICKERDATA(B1, "Cash And Cash Equivalents", 2023)
// Equity Value = Enterprise Value - Net Debt
=Enterprise_Value - Net_Debt
// Intrinsic Value per Share
=Equity_Value / Shares_Outstanding
// Compare to Current Price
=TICKERDATALIVE(B1, "Price")
// Upside/Downside
=(Intrinsic_Value - Current_Price) / Current_PriceQuick DCF Check
Tickerdata provides a built-in DCF calculation you can use as a reference:
// DCF Value (pre-calculated intrinsic value)
=TICKERDATALIVE(B1, "DCF")
// Difference from current price
=TICKERDATALIVE(B1, "DCF Diff") Info
The built-in DCF is a quick reference. For detailed analysis, build your own model with custom assumptions.
Comparable Company Analysis
Create a peer comparison table:
| Company | Ticker |
|---|---|
| Target | AAPL |
| Peer 1 | MSFT |
| Peer 2 | GOOGL |
| Peer 3 | META |
| Peer 4 | AMZN |
Sensitivity Analysis
Create a data table showing how valuation changes with different assumptions:
- Set up discount rates across the top (8%, 9%, 10%, 11%, 12%)
- Set up growth rates down the side (1%, 2%, 3%, 4%, 5%)
- Use Data > Data table to calculate intrinsic value for each combination
Tip
Sensitivity tables help you understand the range of possible fair values and identify which assumptions matter most.
Best Practices
- Use conservative assumptions - Better to be surprised on the upside
- Cross-check methods - DCF and comps should give similar ballpark values
- Document your assumptions - Future you will thank you
- Update regularly - Financial data changes quarterly
Next Steps
- Apply these models with the Stock Analyzer template
- Learn about Financial Modeling use cases
- Explore TICKERDATA attributes for more available metrics