Comparative Analysis of Valuation Models: An In-depth Study of DCF, CCA, and Precedent Transactions Using Walmart Inc. as a Case Study

Abstract

Three of the primary evaluation models: Discounted Cash Flow Model (DCF), Comparable Company Model (CCA), and Precedent Transaction Model According to the characters of financial decision-making, this research focuses on the efficiency of each model. Through a thorough analysis of Walmart Inc.`s data, this paper critically evaluates both the accuracy and applicability of these models under different market scenarios. It seeks to extend a hand to financiers and managers alike offering an understanding for what attributes together describe strengths and weaknesses in each of these modes of appraisal. In this way one may hope that appreciation will lead people towards more informed investments or business decisions than they might otherwise have chosen.