We initiate Centene Corporation (NYSE: CNC ) with a Strong Buy. Before making that call, we wanted to test our own conviction. That meant doing the opposite of what confirmation bias usually demands. So we went on listing everything thatThere are many ways sell-side analysts try to find a company’s “fair” value — some useful, others pure illusion. The DCF method is like a massive LEGO set: every tiny assumption has to fit just right, and it opens the door to bias — overconfidence, hindsight, and anchoring. ...

We initiate Centene Corporation (NYSE: CNC ) with a Strong Buy. Before making that call, we wanted to test our own conviction. That meant doing the opposite of what confirmation bias usually demands. So we went on listing everything thatThere are many ways sell-side analysts try to find a company’s “fair” value — some useful, others pure illusion. The DCF method is like a massive LEGO set: every tiny assumption has to fit just right, and it opens the door to bias — overconfidence, hindsight, and anchoring. ...

Group 1 - MSCI Inc.'s share price has returned to levels seen in 2021, with a dividend yield of 1.3%, indicating limited growth potential as a compounder [1] Group 2 - Various methods exist for sell-side analysts to determine a company's "fair" value, including DCF, multiples approach, and reverse valuation, each with its own strengths and weaknesses [2] - The Free Cash Flow to Equity (FCFE) model is utilized to assess what truly belongs to shareholders, focusing on earnings, amortization, and investments while ignoring working capital and debt changes [2] - Forecasts employ the H-model for a 10-year two-stage growth fade, with terminal growth aligned to the risk-free rate, and all cash flows discounted by the cost of equity [2]