If an investor wants to know the true worth of a company, even before looking at its stock price, what calculation estimates this value by predicting all the money it will make in the future?

The calculation that estimates the true worth of a company by predicting all the money it will make in the future, even before looking at its stock price, is called Discounted Cash Flow (DCF) analysis. DCF analysis aims to determine a company's intrinsic value. Intrinsic value is the true, inherent worth of a company, independent of current market price fluctuations, derived from its fundamental financial health and future prospects. This method estimates value by projecting a company's future Free Cash Flows (FCF) and then converting these projected future amounts into their equivalent value today. Free Cash Flow (FCF) represents the cash a company generates after accounting for its operating expenses and cap....