ATO — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($187.07)
DCF	$-395.23	-311.3%
Graham Number	$122.06	-34.7%
Reverse DCF	—	—
DDM	$82.40	-56.0%
EV/EBITDA	$187.07	+0.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: -$1.87B

Near-term growth (yrs 1–5)(%)Rev: 14.2% / EPS: 9.4%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 6.21%

Computed WACC: 6.21%

Cost of equity (Re)8.14%(Rf 4.30% + β 0.70 × 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)76.26%

Debt weight (D/V)23.74%

Results

Intrinsic Value / share$-678.40

Current Price$187.07

Upside / Downside-462.6%

Net Debt (used)$9.27B

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

WACC \ Near-term	6.2%	10.2%	14.2%	18.2%	22.2%
7.0%	$-415.32	$-483.59	$-562.17	$-652.23	$-754.97
8.0%	$-346.43	$-400.80	$-463.32	$-534.90	$-616.51
9.0%	$-298.94	$-343.75	$-395.23	$-454.11	$-521.18
10.0%	$-264.27	$-302.12	$-345.56	$-395.21	$-451.71
11.0%	$-237.89	$-270.47	$-307.81	$-350.45	$-398.94

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $7.67

Book Value / share($)Yahoo: $86.34

Results

Graham Number$122.06

Current Price$187.07

Margin of Safety-34.7%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 6.21%

Terminal growth rate(%)

Computed WACC: 6.21%

Cost of equity (Re)8.14%(Rf 4.30% + β 0.70 × 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)76.26%

Debt weight (D/V)23.74%

Results

Reverse DCF requires positive TTM free cash flow.

Current Price$187.07

Implied Near-term FCF Growth—

Historical Revenue Growth14.2%

Historical Earnings Growth9.4%

Base FCF (TTM)-$1.87B

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: $4.00

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$82.40

Current Price$187.07

Upside / Downside-56.0%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $2.39B

Target EV/EBITDA multipleCurrent: 16.8×

Net Debt($B)Default: $9.27B

Results

Implied Equity Value / share$187.07

Current Price$187.07

Upside / Downside+0.0%

Implied EV$40.21B

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

Mult \ Net Debt	$5.27B	$7.27B	$9.27B	$11.27B	$13.27B
12.8x	$153.42	$141.34	$129.25	$117.16	$105.07
14.8x	$182.34	$170.25	$158.16	$146.07	$133.98
16.8x	$211.25	$199.16	$187.07	$174.98	$162.89
18.8x	$240.16	$228.07	$215.98	$203.89	$191.80
20.8x	$269.07	$256.98	$244.89	$232.81	$220.72

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