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Valuation is as much art as it is science from "summary" of Valuation by McKinsey & Company Inc.,Tim Koller,Marc Goedhart,David Wessels
Valuation combines quantitative rigor with qualitative judgment, making it a complex endeavor that transcends mere calculations. At its core, valuation involves assessing the worth of an asset or company based on financial metrics, market conditions, and future cash flows. This quantitative aspect relies heavily on established methodologies and models, such as discounted cash flow analysis or comparable company analysis, which provide a structured framework for arriving at a numerical value. However, the qualitative side introduces layers of nuance that cannot be captured by numbers alone. Factors such as management quality, competitive positioning...
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