IRWD — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($3.57)
DCF	$9.69	+171.4%
Graham Number	—	—
Reverse DCF	—	implied g: -7.0%
DDM	—	—
EV/EBITDA	$3.58	+0.2%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $111.57M

Near-term growth (yrs 1–5)(%)Rev: -47.3% / EPS: —

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 2.64%

Computed WACC: 2.64%

Cost of equity (Re)5.36%(Rf 4.30% + β 0.19 × 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)49.28%

Debt weight (D/V)50.72%

Results

Intrinsic Value / share$563.90

Current Price$3.57

Upside / Downside+15695.5%

Net Debt (used)$382.35M

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$9.79	$12.25	$15.11	$18.41	$22.22
8.0%	$7.63	$9.61	$11.91	$14.56	$17.61
9.0%	$6.14	$7.78	$9.69	$11.89	$14.43
10.0%	$5.04	$6.44	$8.07	$9.94	$12.09
11.0%	$4.19	$5.41	$6.83	$8.45	$10.31

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $0.18

Book Value / share($)Yahoo: $-1.61

Results

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

Graham Number—

Current Price$3.57

Margin of Safety—

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 2.64%

Terminal growth rate(%)

Computed WACC: 2.64%

Cost of equity (Re)5.36%(Rf 4.30% + β 0.19 × 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)49.28%

Debt weight (D/V)50.72%

Results

Current Price$3.57

Implied Near-term FCF Growth-20.0%

Historical Revenue Growth-47.3%

Historical Earnings Growth—

Base FCF (TTM)$111.57M

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: —

Dividend growth rate (g)(%)

Required return (r)(%)

Results

This company does not pay a dividend. DDM is not applicable — the intrinsic value shown uses D0 = $0 unless you enter a hypothetical dividend above.

DDM Intrinsic Value / share—

Current Price$3.57

Upside / Downside—

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $120.64M

Target EV/EBITDA multipleCurrent: 8.0×

Net Debt($B)Default: $382.35M

Results

Implied Equity Value / share$3.58

Current Price$3.57

Upside / Downside+0.2%

Implied EV$964.52M

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

Mult \ Net Debt	-$1.62B	-$617.65M	$382.35M	$1.38B	$2.38B
4.0x	$12.91	$6.76	$0.61	$-5.53	$-11.68
6.0x	$14.39	$8.24	$2.10	$-4.05	$-10.20
8.0x	$15.87	$9.73	$3.58	$-2.57	$-8.72
10.0x	$17.36	$11.21	$5.06	$-1.09	$-7.23
12.0x	$18.84	$12.69	$6.54	$0.40	$-5.75

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