ISRG — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($496.25)
DCF	$266.03	-46.4%
Graham Number	$93.49	-81.2%
Reverse DCF	—	implied g: 30.6%
DDM	—	—
EV/EBITDA	$503.84	+1.5%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $2.27B

Near-term growth (yrs 1–5)(%)Rev: 18.8% / EPS: 16.6%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 13.43%

Computed WACC: 13.43%

Cost of equity (Re)13.44%(Rf 4.30% + β 1.66 × 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)99.90%

Debt weight (D/V)0.10%

Results

Intrinsic Value / share$152.54

Current Price$496.25

Upside / Downside-69.3%

Net Debt (used)-$5.76B

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

WACC \ Near-term	10.8%	14.8%	18.8%	22.8%	26.8%
7.0%	$286.71	$336.43	$393.38	$458.33	$532.12
8.0%	$233.38	$272.80	$317.92	$369.34	$427.72
9.0%	$196.69	$229.04	$266.03	$308.17	$355.98
10.0%	$169.96	$197.17	$228.27	$263.66	$303.79
11.0%	$149.67	$173.00	$199.63	$229.91	$264.23

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $7.74

Book Value / share($)Yahoo: $50.19

Results

Graham Number$93.49

Current Price$496.25

Margin of Safety-81.2%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 13.43%

Terminal growth rate(%)

Computed WACC: 13.43%

Cost of equity (Re)13.44%(Rf 4.30% + β 1.66 × 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)99.90%

Debt weight (D/V)0.10%

Results

Current Price$496.25

Implied Near-term FCF Growth43.7%

Historical Revenue Growth18.8%

Historical Earnings Growth16.6%

Base FCF (TTM)$2.27B

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$496.25

Upside / Downside—

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $3.56B

Target EV/EBITDA multipleCurrent: 48.7×

Net Debt($B)Default: -$5.76B

Results

Implied Equity Value / share$503.84

Current Price$496.25

Upside / Downside+1.5%

Implied EV$173.16B

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

Mult \ Net Debt	-$7.76B	-$6.76B	-$5.76B	-$4.76B	-$3.76B
44.7x	$469.39	$466.58	$463.76	$460.95	$458.13
46.7x	$489.43	$486.62	$483.80	$480.98	$478.17
48.7x	$509.47	$506.65	$503.84	$501.02	$498.21
50.7x	$529.51	$526.69	$523.88	$521.06	$518.24
52.7x	$549.55	$546.73	$543.91	$541.10	$538.28

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