Estimate what a firm is worth with the free cash flow model or models that fit it

To value a company from FCFF, discount the forecast flows at the WACC, add a terminal value at the horizon, usually FCFF(n+1) ÷ (WACC − g), also discounted, then subtract the market value of debt, and of preferred shares if any, to reach equity, which divided by shares outstanding gives a per-share value. To value from FCFE, discount the flows at the required return on equity, with a terminal value of FCFE(n+1) ÷ (r − g). Non-operating assets such as surplus cash are added to operating value. Consistency matters: nominal flows with nominal rates, and each rate matched to its claimants. The classic traps are subtracting debt from an FCFE value and forgetting to subtract it from an FCFF value.