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Frequently Asked Questions (FAQs)

We've compiled answers to some general questions you might have about our Fair Value spreadsheet solution.

What does Stock Finance Pro do?

Stock Finance Pro offers a valuation investment tool (a Fair Value Calculator) that helps investors decide whether a company on the stock market is cheap or expensive.

Our solution is offered as an add-on to Google Spreadsheet, providing insights and data visualization to assist you in your investment strategies.

Fair value is a stock's underlying worth based on its financial health and performance. It is calculated by estimating the company's future projections, such as cash flows, and then discounting them to their present value.

Fair value is essential because it can help investors identify undervalued stocks. If a stock is trading below its fair value, it may be a good investment opportunity.

Learn more about other stock market terminologies here.

To subscribe, go to Google Marketplace. Search for "Stock Finance Pro" and install the add-on. Then, choose one of our subscription plans.

Stock Finance Pro is FREE to use until September 30, 2024. This is an excellent opportunity to understand how our solution can benefit you. 

During this free trial, you can still choose one of our subscription plans for extended features and usage. However, after the trial ends, a subscription plan will be required to continue using the service.

Start your FREE TRIAL.

 

The Ticker Symbol is usually displayed next to a company's name and stock price on financial news websites or other platforms. We recommend using the Ticker Symbols from Yahoo Finance for our solution.

Our calculator provides fair value using various valuation models, such as the Discounted Cash Flow (DCF) analysis. It estimates the company's future cash flows for five years and discounts them to their present value using a discount rate. We provide the company's Fair Value for each model. However, we also provide an average Fair Value using all our valuation models.

Our Fair Value Calculator uses proprietary algorithms, historical data, and market trends to provide insights into the stock's fair value. You input the ticker symbol to get the company's Fair Value based. You can then change some data points to suit your needs and re-calculate the Fair Value.

The discount rate is a critical input in the DCF analysis, and it can significantly impact the calculated Intrinsic Value. A higher discount rate will result in a low valuation and vice versa.

There is no one-size-fits-all answer to how to choose a discount rate. However, some standard practices include the following:

  • Risk-free rate plus a risk premium: This method simply involves adding a risk premium to the risk-free rate. The risk premium should reflect the company's specific risk. This is the recommended approach for most investors.
  • Capital asset pricing model (CAPM): The CAPM is a complex model that considers several factors, including the risk-free rate, the market risk premium, and the company's beta.
  • Weighted average cost of capital (WACC): The WACC is the average cost of capital that a company uses to finance its operations. It is calculated by taking a weighted average of the company's debt and equity costs.

No, our calculator is designed for novice and experienced investors. It provides easy-to-understand information, and our user-friendly design makes it accessible to users with varying levels of investment knowledge.

We offer a range of data, including historical financial data, trading volume, and more. We aim to provide you with the information you need to make informed investment decisions.

We provide Trading volume data, a crucial market activity and liquidity indicator. A higher trading volume could indicate increased investor interest and potentially greater price volatility.

However, you can generate more returns as a long-term investor, so we do not recommend Day Trading. Some of the greatest investors of all time, Warren Buffett, Charlie Munger and Peter Lynch, are long-term investors.

Yes, we take the security of your personal and financial information seriously. We use industry-standard security measures to protect data and ensure secure transactions. We use Stripe for processing our payments.

We use a third-party provider to serve the most up-to-date data when provided by the market and the company. The data will be updated depending on its availability. For example, Revenue data are released every quarter. Therefore, revenue figures are updated once the company releases them each quarter.

It is important to note that our calculator is just a tool. It cannot predict the future with certainty, and its results should be used as a guide, not as a gospel.

Additionally, our valuation models are based on several assumptions, such as the company's future growth rate and its cost of capital. The calculated intrinsic value will be correct only if the assumptions are correct. You can modify some of the assumptions after conducting research with fundamental analysis.

When you enter the Ticker symbol, we provide a default Fair Value. You can change key data points to match your investment thesis and recalculate to get a new Fair Value. The following data points [cells] can be updated to recalculate the Fair Value:

Enter the Ticker symbol to receive a default Fair Value. You can modify key data points according to your investment thesis and recalculate to obtain a new Fair Value. The following data points [cells] can be updated for recalculation:

  • Ticker Symbol [B4]

  • Total Revenue [C12:C16]

  • Gross Profit [D12:D16]

  • Operating Expense [E12:E16]

  • Net Income [F12:F16]

  • Total Assets [G12:G16]

  • Total Liabilities [H12:H16]

  • Shareholders' Equity [I12:I16]

  • Latest Stock Price [C22]

  • Market Cap [C24]

  • EPS (TTM) [C26]

  • Forward P/S Ratio [C29]

  • Forward P/E Ratio [C30]

  • Annual Dividend [C31]

  • Dividend Growth Rate [C32]

  • Future Growth Rate [C33]

  • Margin of Safety [C34]

  • Discount (Risk Free) [C36]

  • Rate Growth Decline Rate [C37]

  • Cash Equivalent & Short-term invest [C38]

  • Total Debt (Most Recent Quarter) [C42]

  • Free Cash Flow (TTM) [C45]

  • Terminal Multiplier [C47] Currency Conversion [C49]

  • Outstanding Shares % Increase in 5-Year Outlook (Bear Case) [D74]

  • Sector [E4]

  • Industry [E5]

  • Outstanding Shares % Increase in 5-Year Outlook (Bull Case) [E74]

  • Total Shares Outstanding [K6]

When no data is in these cells, they will be automatically highlighted in Dark Blue.

The number of changes permitted depends on your price plan:

  1. Free: Recalculation of Fair Value counts as an API call and reduces your monthly balance.

  2. Pro: Recalculation of Fair Value counts as an API call and reduces your monthly balance.

  3. Pro Plus: Recalculation of Fair Value counts as an API call and reduces your monthly balance.

  4. Pro PremiumUnlimited Recalculation of Fair Value.

If you have exhausted your API calls and cell updates in a month, you must upgrade to the next tier to continue using the service or wait until next month.

Changing permitted cells, such as the Perpetuity Growth Rate or Margin of Safety, will update multiple (10+) cells to calculate the Intrinsic Value. So, you'll need to undo multiple times to retrieve the previous value changed in a permitted cell. Alternatively, re-enter the last number to recalculate.

Every sheet name within your workbook must be distinct. The sheets are automatically named using the Ticker Symbol. An error message will be displayed if you try to create a Ticker Symbol that exists in your workbook. This rule applies whether the sheet is active or hidden within your workbook.

You can use our calculator to screen for undervalued stocks. Consider investigating further if you find a stock trading below its Fair Value.

However, conducting in-depth research with fundamental analysis before making investment decisions is essential. Before investing, you could review the company's financial health, competitive landscape, and management team. Learn more here on how to start your investment journey in the stock market.

 

If you experience technical issues, please contact our customer support team. We're here to assist you and address any problems you encounter.

Unfortunately, we currently do not provide personalised financial advice. Our solution provides data and insights, but your investment decisions based on the information are solely your responsibility.

No, the mobile version of Google Sheets differs from the PC version and does not have a full Toolbar menu. Instead, formatting options appear at the bottom of the display when you tap a cell or select a range of cells.

While you can't access the full Toolbar menu in the Google Sheets mobile app, you can access the Stock Finance Pro features by using the browser on your mobile:

  • Open your mobile browser and go to Google Sheets.
  • Request to use the desktop version of the site.
  • This displays the full Toolbar menu, but the user experience might be less optimised for mobile screens. So, consider using a tablet for a more desktop-like experience since it offers a larger screen.

Yes, you can cancel your subscription at any time. Your access to our services will remain active until the end of the current billing cycle. Please note that we do not offer refunds once the billing cycle has started.

Email us using our Contact Us page, titled "Cancel my Subscription".

Our fair value calculator automatically displays the data you need for the valuation. To use our calculator, you will need to input or update the following information:

  • Enter the company's ticker symbol
  • Update the Dividend Growth Rate (if required)
  • Provide your expected Perpetuity Growth Rate for the company
  • Change the Margin of Safety to your preference
  • Provide your preferred Discount [Risk-Free] Rate
  • Update Growth Decline Rate
  • Enter how much dilution you expect from the company

You can quickly check your daily and monthly credit balance by visiting the "My Account" section from the Stock Finance Pro extension [in your Google Sheets].

Stock Finance Pro provides valuation analysis for stocks listed on major markets across the US, Europe, and Asia. This enables comprehensive coverage for investors looking into international investment opportunities. We recommend entering the Ticker Symbol exactly as written on Yahoo Finance to confirm whether a stock is supported before running a query.