BRO — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($72.16)
DCF	$397.44	+450.8%
Graham Number	$51.53	-28.6%
Reverse DCF	—	implied g: 9.2%
DDM	$12.98	-82.0%
EV/EBITDA	$72.44	+0.4%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $1.40B

Near-term growth (yrs 1–5)(%)Rev: 36.2% / EPS: -16.2%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 6.58%

Computed WACC: 6.58%

Cost of equity (Re)8.69%(Rf 4.30% + β 0.80 × 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)75.68%

Debt weight (D/V)24.32%

Results

Intrinsic Value / share$710.43

Current Price$72.16

Upside / Downside+884.5%

Net Debt (used)$6.84B

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

WACC \ Near-term	28.2%	32.2%	36.2%	40.2%	44.2%
7.0%	$464.49	$542.90	$631.24	$730.46	$841.53
8.0%	$361.85	$423.24	$492.41	$570.05	$656.94
9.0%	$291.61	$341.39	$397.44	$460.34	$530.70
10.0%	$240.76	$282.14	$328.71	$380.94	$439.36
11.0%	$202.42	$237.46	$276.89	$321.10	$370.53

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $3.16

Book Value / share($)Yahoo: $37.34

Results

Graham Number$51.53

Current Price$72.16

Margin of Safety-28.6%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 6.58%

Terminal growth rate(%)

Computed WACC: 6.58%

Cost of equity (Re)8.69%(Rf 4.30% + β 0.80 × 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)75.68%

Debt weight (D/V)24.32%

Results

Current Price$72.16

Implied Near-term FCF Growth1.4%

Historical Revenue Growth36.2%

Historical Earnings Growth-16.2%

Base FCF (TTM)$1.40B

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: $0.63

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$12.98

Current Price$72.16

Upside / Downside-82.0%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $1.98B

Target EV/EBITDA multipleCurrent: 15.9×

Net Debt($B)Default: $6.84B

Results

Implied Equity Value / share$72.44

Current Price$72.16

Upside / Downside+0.4%

Implied EV$31.50B

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

Mult \ Net Debt	$2.84B	$4.84B	$6.84B	$8.84B	$10.84B
11.9x	$60.90	$55.02	$49.15	$43.27	$37.40
13.9x	$72.54	$66.67	$60.79	$54.92	$49.04
15.9x	$84.19	$78.31	$72.44	$66.56	$60.69
17.9x	$95.83	$89.96	$84.08	$78.21	$72.33
19.9x	$107.48	$101.60	$95.73	$89.85	$83.98

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