HOFT — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($14.08)
DCF	$33.97	+141.3%
Graham Number	—	—
Reverse DCF	—	implied g: -8.3%
DDM	$9.48	-32.7%
EV/EBITDA	—	—

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $22.49M

Near-term growth (yrs 1–5)(%)Rev: -14.4% / EPS: —

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 9.95%

Computed WACC: 9.95%

Cost of equity (Re)11.93%(Rf 4.30% + β 1.39 × 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)83.45%

Debt weight (D/V)16.55%

Results

Intrinsic Value / share$29.24

Current Price$14.08

Upside / Downside+107.7%

Net Debt (used)$28.73M

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$34.28	$41.76	$50.45	$60.51	$72.10
8.0%	$27.71	$33.72	$40.71	$48.78	$58.07
9.0%	$23.15	$28.16	$33.97	$40.67	$48.38
10.0%	$19.81	$24.08	$29.03	$34.73	$41.28
11.0%	$17.25	$20.96	$25.25	$30.19	$35.86

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $-1.92

Book Value / share($)Yahoo: $15.98

Results

Graham Number requires positive EPS and positive Book Value per share. EPS is zero or negative.

Graham Number—

Current Price$14.08

Margin of Safety—

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 9.95%

Terminal growth rate(%)

Computed WACC: 9.95%

Cost of equity (Re)11.93%(Rf 4.30% + β 1.39 × 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)83.45%

Debt weight (D/V)16.55%

Results

Current Price$14.08

Implied Near-term FCF Growth-6.3%

Historical Revenue Growth-14.4%

Historical Earnings Growth—

Base FCF (TTM)$22.49M

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: $0.46

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$9.48

Current Price$14.08

Upside / Downside-32.7%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: -$804,000

Target EV/EBITDA multipleCurrent: -221.8×

Net Debt($B)Default: $28.73M

Results

Implied Equity Value / share$13.88

Current Price$14.08

Upside / Downside-1.4%

Implied EV$178.33M

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