CARR — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($61.08)
DCF	$8.28	-86.4%
Graham Number	$25.06	-59.0%
Reverse DCF	—	implied g: 26.8%
DDM	$19.78	-67.6%
EV/EBITDA	$61.47	+0.6%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $1.01B

Near-term growth (yrs 1–5)(%)Rev: -6.0% / EPS: -97.8%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 9.80%

Computed WACC: 9.80%

Cost of equity (Re)11.39%(Rf 4.30% + β 1.29 × ERP 5.50%)

Cost of debt (Rd)4.09%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)80.47%

Debt weight (D/V)19.53%

Results

Intrinsic Value / share$5.93

Current Price$61.08

Upside / Downside-90.3%

Net Debt (used)$10.84B

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$8.47	$12.80	$17.84	$23.68	$30.40
8.0%	$4.65	$8.14	$12.19	$16.88	$22.27
9.0%	$2.01	$4.92	$8.28	$12.17	$16.64
10.0%	$0.07	$2.55	$5.42	$8.73	$12.52
11.0%	$-1.42	$0.74	$3.23	$6.09	$9.38

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $1.69

Book Value / share($)Yahoo: $16.51

Results

Graham Number$25.06

Current Price$61.08

Margin of Safety-59.0%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 9.80%

Terminal growth rate(%)

Computed WACC: 9.80%

Cost of equity (Re)11.39%(Rf 4.30% + β 1.29 × ERP 5.50%)

Cost of debt (Rd)4.09%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)80.47%

Debt weight (D/V)19.53%

Results

Current Price$61.08

Implied Near-term FCF Growth29.4%

Historical Revenue Growth-6.0%

Historical Earnings Growth-97.8%

Base FCF (TTM)$1.01B

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: $0.96

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$19.78

Current Price$61.08

Upside / Downside-67.6%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $3.38B

Target EV/EBITDA multipleCurrent: 18.4×

Net Debt($B)Default: $10.84B

Results

Implied Equity Value / share$61.47

Current Price$61.08

Upside / Downside+0.6%

Implied EV$62.22B

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

Mult \ Net Debt	$4.84B	$7.84B	$10.84B	$13.84B	$16.84B
14.4x	$52.48	$48.89	$45.30	$41.71	$38.12
16.4x	$60.56	$56.97	$53.39	$49.80	$46.21
18.4x	$68.65	$65.06	$61.47	$57.88	$54.29
20.4x	$76.73	$73.14	$69.55	$65.96	$62.37
22.4x	$84.81	$81.22	$77.63	$74.04	$70.46

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