Glossary

Pessimistic, central and optimistic DCF scenarios.

In this dashboard: Base: start growth 90% of consensus fading to g, TTM after-SBC margin flat. Bear: 50% of consensus growth, 85% of margin, WACC +1%. Bull: 100% of consensus growth, WACC −1%.

How much a stock tends to move relative to the overall market. 1.0 = moves with the market. A beta above 1 means the stock has historically swung more than the market; it raises the CAPM cost of equity and lowers the DCF value. Beta is backward-looking and noisy.

In this dashboard: 5-year observed beta from Yahoo/stockanalysis. High betas (NVDA 2.25, AMD 2.54) produce WACCs of 16–18%, which is a main reason their DCFs are low.

The dashboard's single fair-value estimate: 50% DCF base + 50% relative mid. Combining two independent methods reduces reliance on any single set of assumptions.

In this dashboard: If |DCF base − relative mid| ÷ relative mid > 25%, the blend is flagged 'indicative'.

Spending on long-lived assets like data centers, equipment, rockets and satellites.

In this dashboard: Heavy AI/infrastructure capex makes AMZN, GOOG and SPCX FCF negative or depressed.

Formula for the return shareholders require: risk-free rate plus beta times the equity risk premium. CAPM says a stock's required return equals the risk-free rate plus a premium for market risk, scaled by how much the stock moves with the market (beta).

In this dashboard: Risk-free = latest 10-year Treasury yield; ERP = 5.0%; β = observed 5-year beta (SPCX has none, so a 1.5 placeholder is flagged).

The dashboard's call from comparing price with blended fair value and the margin-of-safety bands. A screening label, not a buy/sell recommendation.

In this dashboard: See Margin of safety for the thresholds.

How much weight to put on the blended value. 'Indicative' = DCF and relative differ by more than 25%. 'Low' = they differ by more than 50%, or the value is relative-only because the DCF is not meaningful.

In this dashboard: Shown next to each call.

The average forecast of Wall Street analysts covering the stock. Usually built on adjusted (non-GAAP) earnings unless stated otherwise.

In this dashboard: From stockanalysis.com (S&P Global Market Intelligence) and Yahoo Finance.

Interest rate the company pays on borrowings, after tax in the WACC. Interest is tax-deductible, so the WACC uses the after-tax cost of debt.

In this dashboard: No company-level interest-rate data is in the free inputs, so Kd is an assumption: 10Y Treasury + 1.0% spread, 21% tax. Flagged as an assumption on every ticker page.

Return shareholders require for owning the stock; computed with CAPM. The opportunity cost for equity investors. It is not directly observable, so it is estimated, here with CAPM.

In this dashboard: Shown in each ticker's WACC build.

Share count including the effect of options, RSUs and convertibles; the right divisor for per-share value. Basic shares count only shares outstanding today. Diluted shares add shares that would be issued from employee awards and convertibles. Using basic shares overstates value per share when they differ.

In this dashboard: Per-share values use the Data Collector's diluted/implied share count (Yahoo impliedSharesOutstanding = market cap ÷ price). For SPCX that is 13.581B, not the 8.247B basic count. Note: 'implied' is not a full treasury-method count.

Values a company as today's value of the cash it is expected to generate in the future. A DCF projects a company's free cash flow for several years, adds a terminal value for everything after that, and discounts all of it back to today at a rate that reflects risk (the WACC). The result is the enterprise value, which is then converted to a value per share.

In this dashboard: 5-year explicit forecast plus a Gordon-growth terminal value, discounted at a CAPM-based WACC. SBC is subtracted as a cash cost. Bear/base/bull scenarios and a WACC × growth sensitivity grid are shown on each ticker page.

Raised when the DCF base and the relative mid disagree by more than 25% of the relative mid.

In this dashboard: Makes the blended value 'indicative'.

Earnings before interest, taxes, depreciation and amortization: a rough proxy for operating cash earnings. Ignores capital intensity and (in most vendor data) SBC, so it can flatter companies with heavy capex or stock pay.

In this dashboard: TTM figure from the Data Collector's sources.

Value of the whole business to all capital providers: equity plus net debt. EV is what a DCF produces (cash flows available to both shareholders and lenders). To get to the equity value, add cash and subtract debt.

In this dashboard: Each ticker page shows an EV-to-equity bridge from the DCF file's EV, net cash (debt) and share count.

Net income divided by shares outstanding. See GAAP vs. adjusted EPS.

In this dashboard: Denominator of P/E.

Extra return investors demand for owning stocks instead of risk-free bonds. A forward-looking estimate, typically 4–6% for U.S. equities.

In this dashboard: Fixed at 5.0% for every ticker.

Enterprise value divided by EBITDA. Capital-structure-neutral multiple, useful for comparing companies with different debt levels.

In this dashboard: TTM only. Excluded from the SPCX blend because NTM sales are ~5× TTM sales.

Enterprise value divided by revenue. Used for companies with thin or negative profits; ignores margins entirely.

In this dashboard: NTM EV/Sales. For SPCX's satellite/comms group it is the only usable multiple, so that group's value is fragile.

Terminal value expressed as a multiple of final-year cash flow or EBITDA. An alternative way to set the terminal value: assume the business could be sold at a typical market multiple at the end of the forecast.

In this dashboard: Used as a sanity check on the Gordon terminal value (shown as 'implied exit multiple' in each DCF file).

'Next twelve months': a forward-looking figure built from analyst consensus estimates. Forward multiples use expected earnings or sales instead of past results. Vendors define 'forward' differently (FY1 vs. FY2), so this dashboard computes NTM itself.

In this dashboard: NTM P/E and NTM EV/Sales are computed with that day-weighting in every relative file.

Cash from operations minus capital spending: the cash a business generates that could go to owners. Operating cash flow (OCF) minus capital expenditures (capex). Some sources publish a 'levered FCF' that also deducts interest and other items; this dashboard does not mix the two definitions.

In this dashboard: The DCF uses FCF after SBC. The 'implied FCF margin' on each ticker page is the after-SBC margin the current price would require.

The current fiscal year (FY1) and the next one (FY2) in analyst consensus. Fiscal years differ by company (e.g. CRM's FY ends Jan 31).

In this dashboard: Consensus revenue/EPS/FCF for FY1 and FY2 feed the NTM figures and the DCF starting growth rate.

GAAP follows accounting rules; adjusted/non-GAAP excludes items like SBC and amortization, so it is usually higher. Analyst consensus EPS is typically adjusted. Comparing an adjusted-EPS P/E to a DCF that deducts SBC mixes two different bases.

In this dashboard: Through 2026-11-11 the comps use consensus (mostly adjusted) EPS. Labelled 'adjusted basis'. From the next run the default is GAAP EPS / FCF minus SBC, consistent with the DCF.

Terminal value that assumes cash flow grows at a constant rate forever. Also called the perpetuity growth method. The terminal growth rate (g) must be below the WACC and is usually close to long-run inflation/GDP growth.

In this dashboard: Base g = 2.5% (range 2.0–3.0% in the sensitivity grid).

The after-SBC FCF margin the company would need (with base growth and WACC) to justify today's price. A reverse-DCF check: compare it with the actual TTM margin to see how much the market is pricing in.

In this dashboard: Shown in each DCF build.

The share price you'd get by applying a peer multiple to the company's own figures. For price multiples: multiple × the company's EPS or FCF per share. For EV multiples: (multiple × metric + net cash) ÷ shares.

In this dashboard: One implied low/mid/high per multiple; they are then averaged with the weights stated in each relative file.

The middle half of the peers: from the 25th percentile to the 75th percentile. A robust spread measure that ignores the most extreme quarter on each side.

In this dashboard: Relative low = peer 25th percentile, high = 75th percentile (linear interpolation).

How far the price is below fair value, as a share of fair value. A cushion against estimation error. A negative MoS means the price is above fair value.

In this dashboard: Cheap if MoS ≥ 20%; Rich if price ≥ 15% above FV; otherwise Fair. SPCX uses 30% both ways.

Share price × shares outstanding: the market value of the equity.

In this dashboard: Used for WACC weights and EV.

Total debt minus cash. Negative net debt = net cash. The bridge between enterprise value and equity value. Source cash definitions differ (cash only vs. cash + marketable securities), so the inputs use one consistent source.

In this dashboard: Files show 'Net cash (debt)': a negative number means net debt (e.g. CRM −$31.0B).

The number can be calculated but doesn't say anything useful (e.g. a DCF on deeply negative cash flow). Rather than show a misleading negative value per share, the method is excluded from the blend.

In this dashboard: AMZN and SPCX DCFs on 2026-11-11.

Cash generated by the business's day-to-day operations. Includes an add-back for SBC, which is why the DCF subtracts SBC again.

In this dashboard: Starting point for FCF.

Share price divided by earnings per share. The most common valuation multiple. A lower P/E vs. peers can mean cheaper, or lower expected growth/quality.

In this dashboard: NTM P/E is one of the four comps multiples.

Market cap divided by free cash flow. Like P/E but on cash instead of accounting earnings.

In this dashboard: Uses consensus FY1 FCF. Dropped when FCF ≤ 0 or the multiple is above 150×.

The middle value of the peer multiples: half are above, half below. Less distorted by outliers than the average (mean).

In this dashboard: The relative 'mid' applies the peer median multiple to the subject's own earnings/sales/cash flow.

A group of similar listed companies whose multiples are used to value the subject. Comparable-company analysis assumes similar businesses should trade at similar multiples.

In this dashboard: Each relative file lists the peers and why they were chosen. SPCX uses three groups: aerospace/defense, satellite/comms and AI.

Trading before the regular 9:30 AM ET open (from 4:00 AM ET). Thin volume; prices can move a lot and may not hold at the open.

In this dashboard: Calls use the latest pre-market print at report time; comps and DCF inputs use the prior regular-session close.

A DCF that relies on a judgment-based margin path because current cash flow is temporarily depressed.

In this dashboard: GOOG and AMZN on 2026-11-11: FCF margin ramps back toward a pre-capex-surge level.

Return on a (nearly) riskless investment; here the 10-year U.S. Treasury yield. The starting point for any required return. Longer-dated Treasuries are used to match the long horizon of a DCF.

In this dashboard: Latest U.S. Treasury daily par yield (10Y). On 2026-11-11 (Veterans Day, bond market closed) the Nov 10 close of 4.98% was used.

Re-running the valuation with different key inputs to see how much the answer moves.

In this dashboard: Grid of base-case value per share for WACC ±1% (0.5% steps) and terminal growth 2.0 / 2.5 / 3.0%.

Pay given to employees in shares. It is non-cash on the cash-flow statement but is a real cost to shareholders (dilution). Companies add SBC back when calculating operating cash flow, which makes FCF look higher. Treating SBC as a cash cost (subtracting it) is the more conservative and more standard choice for valuation, because issuing shares to employees dilutes existing owners.

In this dashboard: Standing default from 2026-11-11: SBC is a cash cost in every DCF. From the next run, comps also use GAAP (SBC-inclusive) earnings so both methods measure the same thing.

The value of all cash flows after the explicit forecast years, collapsed into one number. Because a company is assumed to keep operating indefinitely, the DCF adds a terminal value at the end of year 5. It is often the majority of EV, so the terminal assumptions matter a lot.

In this dashboard: Computed with Gordon growth and cross-checked with the implied exit multiple. A TV share above 75% is flagged (e.g. GOOG 86%).

The most recent four reported quarters added together. Backward-looking; used where forward consensus is not available.

In this dashboard: EV/EBITDA uses TTM EBITDA (forward EBITDA consensus is not on the free sources). The DCF starts from TTM revenue and FCF.

How much the price would have to move to reach fair value. Measured from the price, unlike margin of safety which is measured from fair value.

In this dashboard: Shown in the summary table.

The blended return required by shareholders and lenders; the discount rate in the DCF. WACC weights the cost of equity and the after-tax cost of debt by their share of total capital (at market value). A higher WACC lowers the DCF value.

In this dashboard: Ke from CAPM (10Y Treasury + beta × 5.0% ERP); Kd = 10Y + 1.0% (assumption), 21% tax; market-value weights from market cap and total debt. The DCF file states a WACC floor of 8%.