AME — Valuation Models

Interactive models with editable assumptions. All calculations run client-side.

Valuation Summary

Model	Intrinsic Value	vs Price ($241.46)
DCF	$159.53	-33.9%
Graham Number	$81.75	-66.1%
Reverse DCF	—	implied g: 20.3%
DDM	$28.02	-88.4%
EV/EBITDA	$241.46	-0.0%

Values reflect default assumptions. Adjust inputs in each model below to update.

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $1.35B

Near-term growth (yrs 1–5)(%)Rev: 13.4% / EPS: 3.6%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 9.56%

Computed WACC: 9.56%

Cost of equity (Re)10.00%(Rf 4.30% + β 1.04 × ERP 5.50%)

Cost of debt (Rd)0.00%(no debt / unavailable → 0%)

Tax rate (T)21.00%(US statutory fallback)

Equity weight (E/V)95.58%

Debt weight (D/V)4.42%

Results

Intrinsic Value / share$144.91

Current Price$241.46

Upside / Downside-40.0%

Net Debt (used)$2.11B

Sensitivity: WACC (rows) × Near-term g (cols)

WACC \ Near-term	5.4%	9.4%	13.4%	17.4%	21.4%
7.0%	$168.82	$202.84	$242.04	$286.99	$338.32
8.0%	$134.87	$161.98	$193.19	$228.95	$269.75
9.0%	$111.45	$133.82	$159.53	$188.97	$222.53
10.0%	$94.35	$113.26	$134.98	$159.81	$188.10
11.0%	$81.34	$97.62	$116.30	$137.65	$161.94

2 — Graham Number

Assumptions

MultiplierGraham used 22.5 (15× P/E × 1.5× P/B)

EPS (trailing)($)Yahoo: $6.40

Book Value / share($)Yahoo: $46.41

Results

Graham Number$81.75

Current Price$241.46

Margin of Safety-66.1%

Formula: √(22.5 × max(0,EPS) × max(0,BVPS))

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 9.56%

Terminal growth rate(%)

Computed WACC: 9.56%

Cost of equity (Re)10.00%(Rf 4.30% + β 1.04 × ERP 5.50%)

Cost of debt (Rd)0.00%(no debt / unavailable → 0%)

Tax rate (T)21.00%(US statutory fallback)

Equity weight (E/V)95.58%

Debt weight (D/V)4.42%

Results

Current Price$241.46

Implied Near-term FCF Growth22.0%

Historical Revenue Growth13.4%

Historical Earnings Growth3.6%

Base FCF (TTM)$1.35B

Implied growth is the FCF growth rate (yrs 1–5) that makes the DCF intrinsic value equal the current price. Long-term growth is set to half the implied near-term rate.

4 — Dividend Discount Model (DDM)

Assumptions

Annual dividend D0($/share)Yahoo: $1.36

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$28.02

Current Price$241.46

Upside / Downside-88.4%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $2.36B

Target EV/EBITDA multipleCurrent: 24.3×

Net Debt($B)Default: $2.11B

Results

Implied Equity Value / share$241.46

Current Price$241.46

Upside / Downside-0.0%

Implied EV$57.40B

Sensitivity: EV/EBITDA multiple (rows) × Net Debt (cols)

Mult \ Net Debt	$113.56M	$1.11B	$2.11B	$3.11B	$4.11B
20.3x	$208.99	$204.62	$200.26	$195.89	$191.52
22.3x	$229.59	$225.22	$220.86	$216.49	$212.12
24.3x	$250.19	$245.82	$241.46	$237.09	$232.72
26.3x	$270.79	$266.42	$262.06	$257.69	$253.32
28.3x	$291.39	$287.02	$282.66	$278.29	$273.92

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