Mmm. The one thing I mostly learned from doing DCF models myself in Excel was how sensitive the output was to the different inputs. It didn't really help me to

Mmm. The one thing I mostly learned from doing DCF models myself in Excel was how sensitive the output was to the different inputs. It didn't really help me to do the modelling itself, the hard part is predicting the future, not the Excel formulas. If you look at the Price Targets for many "growth stocks", you'll see that professional analysts struggle with this as much as anyone. Even for stocks with predictable profit models like resource extraction companies, it can be near useless because as soon as some external catalyst people didn't expect comes along triggers the commodity price to change significantly, the DCF valuation goes out the window. IMO DCF is more useful for sensitivity analysis than actually valuing a business in some "accurate way". All that being said -- it is definitely valuable to understand where price targets come from!