AZZ — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($131.49)
DCF	$222.42	+69.2%
Graham Number	$102.90	-21.7%
Reverse DCF	—	implied g: 13.1%
DDM	$15.86	-87.9%
EV/EBITDA	$134.52	+2.3%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $159.60M

Near-term growth (yrs 1–5)(%)Rev: 5.5% / EPS: 21.4%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 10.08%

Computed WACC: 10.08%

Cost of equity (Re)10.50%(Rf 4.30% + β 1.13 × ERP 5.50%)

Cost of debt (Rd)9.01%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)87.42%

Debt weight (D/V)12.58%

Results

Intrinsic Value / share$182.80

Current Price$131.49

Upside / Downside+39.0%

Net Debt (used)$568.03M

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

WACC \ Near-term	13.4%	17.4%	21.4%	25.4%	29.4%
7.0%	$245.49	$293.19	$347.69	$409.69	$479.95
8.0%	$192.61	$230.35	$273.43	$322.42	$377.90
9.0%	$156.26	$187.17	$222.42	$262.48	$307.82
10.0%	$129.82	$155.76	$185.33	$218.91	$256.90
11.0%	$109.77	$131.96	$157.23	$185.91	$218.33

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $10.65

Book Value / share($)Yahoo: $44.19

Results

Graham Number$102.90

Current Price$131.49

Margin of Safety-21.7%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 10.08%

Terminal growth rate(%)

Computed WACC: 10.08%

Cost of equity (Re)10.50%(Rf 4.30% + β 1.13 × ERP 5.50%)

Cost of debt (Rd)9.01%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)87.42%

Debt weight (D/V)12.58%

Results

Current Price$131.49

Implied Near-term FCF Growth16.1%

Historical Revenue Growth5.5%

Historical Earnings Growth21.4%

Base FCF (TTM)$159.60M

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: $0.77

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$15.86

Current Price$131.49

Upside / Downside-87.9%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $346.79M

Target EV/EBITDA multipleCurrent: 13.2×

Net Debt($B)Default: $568.03M

Results

Implied Equity Value / share$134.52

Current Price$131.49

Upside / Downside+2.3%

Implied EV$4.58B

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

Mult \ Net Debt	-$1.43B	-$431.97M	$568.03M	$1.57B	$2.57B
9.2x	$155.05	$121.55	$88.06	$54.56	$21.07
11.2x	$178.28	$144.78	$111.29	$77.79	$44.30
13.2x	$201.51	$168.01	$134.52	$101.03	$67.53
15.2x	$224.74	$191.24	$157.75	$124.26	$90.76
17.2x	$247.97	$214.48	$180.98	$147.49	$113.99

← Overview Financial Statements ← Companies