Equity Incentives and Long-Term Investing I Reverse DCF as an Analytical Tool
A discussion of (1) how equity incentives affect long-term returns: Phil Ordway takes a look at some of the more excessive equity-based compensation practices at public companies, particularly in the tech sector; and (2) reverse DCF analysis as an analytical tool: Elliot Turner explains how he uses so-called "reverse" discounted cash flow (DCF) models in order to isolate the key variables that drive a company's valuation.