APA — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($30.37)
DCF	$84.96	+179.7%
Graham Number	$40.29	+32.7%
Reverse DCF	—	implied g: -9.0%
DDM	$20.60	-32.2%
EV/EBITDA	$32.81	+8.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $1.96B

Near-term growth (yrs 1–5)(%)Rev: -28.0% / EPS: -18.2%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 7.20%

Computed WACC: 7.20%

Cost of equity (Re)8.19%(Rf 4.30% + β 0.71 × ERP 5.50%)

Cost of debt (Rd)6.29%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)69.32%

Debt weight (D/V)30.68%

Results

Intrinsic Value / share$122.58

Current Price$30.37

Upside / Downside+303.6%

Net Debt (used)$4.29B

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$85.79	$105.59	$128.62	$155.28	$185.98
8.0%	$68.37	$84.31	$102.81	$124.21	$148.82
9.0%	$56.30	$69.57	$84.96	$102.72	$123.13
10.0%	$47.44	$58.76	$71.87	$86.98	$104.32
11.0%	$40.65	$50.49	$61.86	$74.95	$89.96

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $4.18

Book Value / share($)Yahoo: $17.26

Results

Graham Number$40.29

Current Price$30.37

Margin of Safety+32.7%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 7.20%

Terminal growth rate(%)

Computed WACC: 7.20%

Cost of equity (Re)8.19%(Rf 4.30% + β 0.71 × ERP 5.50%)

Cost of debt (Rd)6.29%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)69.32%

Debt weight (D/V)30.68%

Results

Current Price$30.37

Implied Near-term FCF Growth-13.4%

Historical Revenue Growth-28.0%

Historical Earnings Growth-18.2%

Base FCF (TTM)$1.96B

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: $1.00

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$20.60

Current Price$30.37

Upside / Downside-32.2%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $5.15B

Target EV/EBITDA multipleCurrent: 3.1×

Net Debt($B)Default: $4.29B

Results

Implied Equity Value / share$32.81

Current Price$30.37

Upside / Downside+8.0%

Implied EV$15.93B

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

Mult \ Net Debt	$2.29B	$3.29B	$4.29B	$5.29B	$6.29B
-0.9x	$-19.58	$-22.40	$-25.22	$-28.04	$-30.86
1.1x	$9.43	$6.61	$3.80	$0.98	$-1.84
3.1x	$38.45	$35.63	$32.81	$29.99	$27.17
5.1x	$67.47	$64.65	$61.83	$59.01	$56.19
7.1x	$96.49	$93.67	$90.85	$88.03	$85.21

← Overview Financial Statements ← Companies