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For instance, if a company like Tesla increases its inventory (an asset), it's a use of cash and thus decreases the CFO. CashFlow from Operations vs Earnings While both earnings (net income) and CFO reflect a company's profitability, CFO can be a more reliable indicator.
DCF: DiscountedCashFlow Estimates a company’s value and forecasts future cashflow by incorporating the time value of money. However, most should be aware of cash-adjusted EBITDA, the deferred revenue that provides a preview of EBITDA yet to come.
Profitability and Margins While some buyers prioritize growth over profits, especially in earlier-stage deals, strong gross and EBITDA margins still matter. A company growing 40%+ annually will often command a premium multiple, particularly if growth is organic and not overly reliant on paid acquisition.
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Discounted Cash Flow 
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