olo-dcf-valuation

What This Skill Does

The olo-dcf-valuation skill provides a rigorous framework for executing Discounted Cash Flow (DCF) analyses within M&A due diligence workflows. It enables OpenClaw to process raw financial data into accurate projections, calculate precise terminal values, and perform sensitivity analysis. The skill enforces strict validation protocols, such as ensuring terminal growth rates remain below the Weighted Average Cost of Capital (WACC), thus adhering to the Gordon Growth Model constraints. By automating the transition from raw unit storage to calculation-ready millions, it mitigates common manual errors in financial modeling.

Installation

You can install this skill directly via the ClawHub CLI using the following command: clawhub install openclaw/skills/skills/aniebyl/olo-dcf-valuation

Use Cases

• Target Valuation: Rapidly estimate the intrinsic value of a target company using base-case, bull-case, and bear-case scenarios.
• M&A Due Diligence: Validate management-provided projections against industry-standard margin and growth benchmarks.
• Sensitivity Testing: Generate tables showing the impact of WACC volatility and terminal growth fluctuations on Enterprise Value.
• Exit Strategy Planning: Use the Exit Multiple method to simulate how prospective buyers value the terminal year EBITDA.

Example Prompts

• "Run a 5-year DCF for Project Alpha. Use 10% WACC, 2.5% terminal growth, and assume a 21% tax rate based on the provided revenue projections."
• "Perform a sensitivity analysis for the target company’s valuation, varying WACC between 8% and 12% and terminal growth between 1% and 3%."
• "Evaluate the implied EV/EBITDA multiple for this SaaS target, assuming a 5-year projection period and a 3% CapEx/Revenue ratio."

Tips & Limitations

• Unit Awareness: Always ensure your input data is normalized. The model internalizes values as millions for calculation, so raw dollars must be converted.
• Data Integrity: Always verify that base revenue is non-zero before triggering the calculation.
• Constraint Checking: If your WACC falls outside the 5-25% range, the system will flag this as a potential error, as it indicates unrealistic cost of capital assumptions.
• Methodology: While the Exit Multiple method is the default for M&A, always cross-reference with the Gordon Growth Model to ensure your perpetuity growth assumption remains tethered to long-term GDP growth, ideally not exceeding 3%.