Do you add randomness to your DCF models? After putting in management and or analyst projections and my own projects for the first year or two on the things I can, should I use static assumptions or random? Does it matter?
Let me say it a better way. If a company had COGS as 15% of sales one year, 17% another and 14% the third. Should I use 15.33% for the projections, or should I do a random number between 14 and 17% for each year I project and do a Monte Carlo. Would it matter?
Submitted April 21, 2019 at 09:55AM by Kyl3b5 http://bit.ly/2Dof5pG
