FRT — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($110.34)
DCF	$10005.53	+8967.9%
Graham Number	$61.40	-44.3%
Reverse DCF	—	implied g: 14.7%
DDM	$92.49	-16.2%
EV/EBITDA	$115.11	+4.3%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $466.56M

Near-term growth (yrs 1–5)(%)Rev: 7.5% / EPS: 98.7%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 7.51%

Computed WACC: 7.51%

Cost of equity (Re)9.86%(Rf 4.30% + β 1.01 × ERP 5.50%)

Cost of debt (Rd)3.83%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)65.57%

Debt weight (D/V)34.43%

Results

Intrinsic Value / share$14288.54

Current Price$110.34

Upside / Downside+12849.6%

Net Debt (used)$4.92B

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

WACC \ Near-term	90.7%	94.7%	98.7%	102.7%	106.7%
7.0%	$13382.11	$14847.31	$16437.74	$18161.27	$20026.08
8.0%	$10269.22	$11394.08	$12615.03	$13938.10	$15369.58
9.0%	$8157.04	$9051.00	$10021.28	$11072.67	$12210.16
10.0%	$6642.06	$7370.43	$8160.95	$9017.51	$9944.17
11.0%	$5510.93	$6115.69	$6772.02	$7483.15	$8252.44

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $4.68

Book Value / share($)Yahoo: $35.81

Results

Graham Number$61.40

Current Price$110.34

Margin of Safety-44.3%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 7.51%

Terminal growth rate(%)

Computed WACC: 7.51%

Cost of equity (Re)9.86%(Rf 4.30% + β 1.01 × ERP 5.50%)

Cost of debt (Rd)3.83%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)65.57%

Debt weight (D/V)34.43%

Results

Current Price$110.34

Implied Near-term FCF Growth10.0%

Historical Revenue Growth7.5%

Historical Earnings Growth98.7%

Base FCF (TTM)$466.56M

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: $4.49

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$92.49

Current Price$110.34

Upside / Downside-16.2%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $814.52M

Target EV/EBITDA multipleCurrent: 18.2×

Net Debt($B)Default: $4.92B

Results

Implied Equity Value / share$115.11

Current Price$110.34

Upside / Downside+4.3%

Implied EV$14.85B

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

Mult \ Net Debt	$2.92B	$3.92B	$4.92B	$5.92B	$6.92B
14.2x	$100.53	$88.94	$77.35	$65.76	$54.16
16.2x	$119.41	$107.82	$96.23	$84.64	$73.05
18.2x	$138.29	$126.70	$115.11	$103.52	$91.93
20.2x	$157.17	$145.58	$133.99	$122.40	$110.81
22.2x	$176.05	$164.46	$152.87	$141.28	$129.69

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