Is there any legit advantage to discovering a inventory’s intrinsic worth? Which technique is finest? Do they work in any respect? : shares

I am new-ish to investing and I am constructing a dividend-growth portfolio which has just a few tech corporations (for extra progress) in there as effectively, and I wish to purchase extra of the identical shares I already personal which might be under or near “truthful worth”. The most typical evaluation I got here throughout to discover a inventory’s intrinsic worth is both by means of Monetary Metrics (such because the PE Ratio), or Discounted Money Stream evaluation.

After operating my corporations by means of these assessments utilizing a spreadsheet I created which compares my outcomes to the present worth, I see vastly completely different outcomes than I anticipated, they usually appear to counsel that there’s TONS extra draw back strain coming, if my outcomes are correct:

Stocks

For instance, I am getting $68-171 truthful worth for MSFT when the present worth is $241. Oreven $120-305 for COST. There is not any manner that is potential!

So, am I doing one thing flawed? Am I not understanding learn how to use these metrics as a result of from what I can see, solely SalesForce (CRM) appears like clear purchase proper now, which goes towards each macro-economic bone in my physique.

What’s going on right here? Any assistance is appreciated!