JBLU — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($5.12)
DCF	$-78.43	-1631.8%
Graham Number	—	—
Reverse DCF	—	—
DDM	—	—
EV/EBITDA	$5.22	+2.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: -$1.24B

Near-term growth (yrs 1–5)(%)Rev: -1.4% / EPS: —

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 2.29%

Computed WACC: 2.29%

Cost of equity (Re)13.65%(Rf 4.30% + β 1.70 × 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)16.75%

Debt weight (D/V)83.25%

Results

Intrinsic Value / share—

Current Price$5.12

Upside / Downside—

Net Debt (used)$7.26B

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$-78.94	$-90.93	$-104.89	$-121.05	$-139.65
8.0%	$-68.38	$-78.04	$-89.25	$-102.22	$-117.14
9.0%	$-61.06	$-69.10	$-78.43	$-89.20	$-101.57
10.0%	$-55.69	$-62.55	$-70.50	$-79.66	$-90.17
11.0%	$-51.58	$-57.54	$-64.43	$-72.37	$-81.47

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $-1.66

Book Value / share($)Yahoo: $5.73

Results

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

Graham Number—

Current Price$5.12

Margin of Safety—

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 2.29%

Terminal growth rate(%)

Computed WACC: 2.29%

Cost of equity (Re)13.65%(Rf 4.30% + β 1.70 × 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)16.75%

Debt weight (D/V)83.25%

Results

Reverse DCF requires positive TTM free cash flow.

Current Price$5.12

Implied Near-term FCF Growth—

Historical Revenue Growth-1.4%

Historical Earnings Growth—

Base FCF (TTM)-$1.24B

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$5.12

Upside / Downside—

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $284.00M

Target EV/EBITDA multipleCurrent: 32.4×

Net Debt($B)Default: $7.26B

Results

Implied Equity Value / share$5.22

Current Price$5.12

Upside / Downside+2.0%

Implied EV$9.19B

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

Mult \ Net Debt	$3.26B	$5.26B	$7.26B	$9.26B	$11.26B
28.4x	$12.96	$7.55	$2.15	$-3.25	$-8.66
30.4x	$14.49	$9.09	$3.69	$-1.72	$-7.12
32.4x	$16.03	$10.62	$5.22	$-0.18	$-5.59
34.4x	$17.56	$12.16	$6.75	$1.35	$-4.05
36.4x	$19.10	$13.69	$8.29	$2.89	$-2.52

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