IBP — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($326.36)
DCF	$401.92	+23.2%
Graham Number	$74.35	-77.2%
Reverse DCF	—	implied g: 14.8%
DDM	$67.98	-79.2%
EV/EBITDA	$325.78	-0.2%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $305.42M

Near-term growth (yrs 1–5)(%)Rev: -0.4% / EPS: 18.2%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 13.41%

Computed WACC: 13.41%

Cost of equity (Re)14.93%(Rf 4.30% + β 1.93 × 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)89.88%

Debt weight (D/V)10.12%

Results

Intrinsic Value / share$209.22

Current Price$326.36

Upside / Downside-35.9%

Net Debt (used)$669.80M

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

WACC \ Near-term	10.2%	14.2%	18.2%	22.2%	26.2%
7.0%	$435.97	$521.04	$618.54	$729.82	$856.30
8.0%	$345.42	$412.90	$490.19	$578.34	$678.45
9.0%	$283.10	$338.51	$401.92	$474.18	$556.20
10.0%	$237.70	$284.34	$337.66	$398.38	$467.26
11.0%	$203.22	$243.22	$288.91	$340.89	$399.81

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $9.28

Book Value / share($)Yahoo: $26.48

Results

Graham Number$74.35

Current Price$326.36

Margin of Safety-77.2%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 13.41%

Terminal growth rate(%)

Computed WACC: 13.41%

Cost of equity (Re)14.93%(Rf 4.30% + β 1.93 × 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)89.88%

Debt weight (D/V)10.12%

Results

Current Price$326.36

Implied Near-term FCF Growth26.1%

Historical Revenue Growth-0.4%

Historical Earnings Growth18.2%

Base FCF (TTM)$305.42M

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: $3.30

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$67.98

Current Price$326.36

Upside / Downside-79.2%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $496.00M

Target EV/EBITDA multipleCurrent: 19.1×

Net Debt($B)Default: $669.80M

Results

Implied Equity Value / share$325.78

Current Price$326.36

Upside / Downside-0.2%

Implied EV$9.46B

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

Mult \ Net Debt	-$1.33B	-$330.20M	$669.80M	$1.67B	$2.67B
15.1x	$326.37	$289.30	$252.23	$215.16	$178.09
17.1x	$363.14	$326.07	$289.00	$251.93	$214.86
19.1x	$399.92	$362.85	$325.78	$288.71	$251.63
21.1x	$436.69	$399.62	$362.55	$325.48	$288.41
23.1x	$473.47	$436.40	$399.32	$362.25	$325.18

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