BKH — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($73.11)
DCF	$-130.40	-278.3%
Graham Number	$67.35	-7.9%
Reverse DCF	—	—
DDM	$57.89	-20.8%
EV/EBITDA	$74.57	+2.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: -$279.31M

Near-term growth (yrs 1–5)(%)Rev: 6.4% / EPS: 0.9%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 6.04%

Computed WACC: 6.04%

Cost of equity (Re)8.17%(Rf 4.30% + β 0.70 × ERP 5.50%)

Cost of debt (Rd)4.47%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)54.00%

Debt weight (D/V)46.00%

Results

Intrinsic Value / share$-191.07

Current Price$73.11

Upside / Downside-361.3%

Net Debt (used)$4.52B

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

WACC \ Near-term	-1.6%	2.4%	6.4%	10.4%	14.4%
7.0%	$-131.56	$-145.93	$-162.62	$-181.91	$-204.09
8.0%	$-118.64	$-130.18	$-143.57	$-159.02	$-176.78
9.0%	$-109.69	$-119.28	$-130.40	$-143.21	$-157.91
10.0%	$-103.12	$-111.29	$-120.75	$-131.63	$-144.10
11.0%	$-98.10	$-105.19	$-113.38	$-122.79	$-133.57

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $3.98

Book Value / share($)Yahoo: $50.66

Results

Graham Number$67.35

Current Price$73.11

Margin of Safety-7.9%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 6.04%

Terminal growth rate(%)

Computed WACC: 6.04%

Cost of equity (Re)8.17%(Rf 4.30% + β 0.70 × ERP 5.50%)

Cost of debt (Rd)4.47%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)54.00%

Debt weight (D/V)46.00%

Results

Reverse DCF requires positive TTM free cash flow.

Current Price$73.11

Implied Near-term FCF Growth—

Historical Revenue Growth6.4%

Historical Earnings Growth0.9%

Base FCF (TTM)-$279.31M

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: $2.81

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$57.89

Current Price$73.11

Upside / Downside-20.8%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $816.50M

Target EV/EBITDA multipleCurrent: 12.4×

Net Debt($B)Default: $4.52B

Results

Implied Equity Value / share$74.57

Current Price$73.11

Upside / Downside+2.0%

Implied EV$10.15B

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

Mult \ Net Debt	$2.52B	$3.52B	$4.52B	$5.52B	$6.52B
8.4x	$57.80	$44.55	$31.30	$18.05	$4.80
10.4x	$79.44	$66.19	$52.94	$39.69	$26.44
12.4x	$101.07	$87.82	$74.57	$61.32	$48.07
14.4x	$122.71	$109.46	$96.21	$82.96	$69.71
16.4x	$144.34	$131.09	$117.85	$104.60	$91.35

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