DCF: Sensitivity analysis

Challenge

**Mission:** Start from default parameters. Find which input causes the most Equity Value variation when changed by +/- 20%. Test: Revenue ±20%, EBITDA Margin ±20%, WACC ±20%, Terminal Growth ±20%. Which has the most impact? Note the results and compare. This is the basis of sensitivity analysis.

💡 Start by noting the Equity Value with default parameters

💡 Change ONE input at a time by +20%, note the result

💡 Then -20%, note the result

💡 WACC and terminal growth will probably have the most impact — why?