EIX — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($74.42)
DCF	$-21122397.13	-28382789.0%
Graham Number	$87.30	+17.3%
Reverse DCF	—	—
DDM	$72.31	-2.8%
EV/EBITDA	$80.40	+8.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: -$649.50M

Near-term growth (yrs 1–5)(%)Rev: 30.8% / EPS: 446.3%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 3.61%

Computed WACC: 3.61%

Cost of equity (Re)8.86%(Rf 4.30% + β 0.83 × 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)40.80%

Debt weight (D/V)59.20%

Results

Intrinsic Value / share$-190598611.01

Current Price$74.42

Upside / Downside-256112181.4%

Net Debt (used)$41.39B

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

WACC \ Near-term	438.3%	442.3%	446.3%	450.3%	454.3%
7.0%	$-33197190.33	$-34449049.15	$-35738392.35	$-37066055.49	$-38432886.46
8.0%	$-25095753.66	$-26042105.38	$-27016793.60	$-28020449.99	$-29053715.51
9.0%	$-19635536.92	$-20375982.68	$-21138599.46	$-21923881.50	$-22732330.28
10.0%	$-15748026.73	$-16341873.72	$-16953502.12	$-17583308.28	$-18231694.42
11.0%	$-12868618.50	$-13353882.54	$-13853676.67	$-14368324.77	$-14898155.50

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $7.63

Book Value / share($)Yahoo: $44.39

Results

Graham Number$87.30

Current Price$74.42

Margin of Safety+17.3%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 3.61%

Terminal growth rate(%)

Computed WACC: 3.61%

Cost of equity (Re)8.86%(Rf 4.30% + β 0.83 × 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)40.80%

Debt weight (D/V)59.20%

Results

Reverse DCF requires positive TTM free cash flow.

Current Price$74.42

Implied Near-term FCF Growth—

Historical Revenue Growth30.8%

Historical Earnings Growth446.3%

Base FCF (TTM)-$649.50M

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: $3.51

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$72.31

Current Price$74.42

Upside / Downside-2.8%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $8.25B

Target EV/EBITDA multipleCurrent: 8.8×

Net Debt($B)Default: $41.39B

Results

Implied Equity Value / share$80.40

Current Price$74.42

Upside / Downside+8.0%

Implied EV$72.33B

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

Mult \ Net Debt	$21.39B	$31.39B	$41.39B	$51.39B	$61.39B
4.8x	$46.64	$20.65	$-5.33	$-31.32	$-57.31
6.8x	$89.51	$63.52	$37.53	$11.54	$-14.45
8.8x	$132.37	$106.38	$80.40	$54.41	$28.42
10.8x	$175.24	$149.25	$123.26	$97.27	$71.28
12.8x	$218.10	$192.11	$166.13	$140.14	$114.15

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