In this part, we break down Buffett's real method for figuring out what a business is worth — not the textbook DCF version, but the process straight from his own letters. You'll see the owner earnings formula, why he uses Treasury yields instead of complex discount rates, and how margin of safety keeps him from overpaying.

Below here are the six tabs, navigate through them one-by-one for complete information:

Once you understand this process, valuing a business stops feeling like guesswork — it becomes a repeatable habit, the same one Buffett has used for over decades.