JCI — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($145.46)
DCF	$397.08	+173.0%
Graham Number	$38.23	-73.7%
Reverse DCF	—	implied g: 17.2%
DDM	$32.96	-77.3%
EV/EBITDA	$145.49	+0.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $2.76B

Near-term growth (yrs 1–5)(%)Rev: 6.8% / EPS: 34.2%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 10.96%

Computed WACC: 10.96%

Cost of equity (Re)12.15%(Rf 4.30% + β 1.43 × 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)90.17%

Debt weight (D/V)9.83%

Results

Intrinsic Value / share$280.78

Current Price$145.46

Upside / Downside+93.0%

Net Debt (used)$9.15B

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

WACC \ Near-term	26.2%	30.2%	34.2%	38.2%	42.2%
7.0%	$459.93	$537.88	$625.88	$724.87	$835.84
8.0%	$359.96	$421.08	$490.04	$567.59	$654.50
9.0%	$291.52	$341.13	$397.08	$459.97	$530.43
10.0%	$241.95	$283.23	$329.77	$382.05	$440.61
11.0%	$204.54	$239.54	$278.99	$323.29	$372.88

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $3.01

Book Value / share($)Yahoo: $21.57

Results

Graham Number$38.23

Current Price$145.46

Margin of Safety-73.7%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 10.96%

Terminal growth rate(%)

Computed WACC: 10.96%

Cost of equity (Re)12.15%(Rf 4.30% + β 1.43 × 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)90.17%

Debt weight (D/V)9.83%

Results

Current Price$145.46

Implied Near-term FCF Growth22.7%

Historical Revenue Growth6.8%

Historical Earnings Growth34.2%

Base FCF (TTM)$2.76B

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: $1.60

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$32.96

Current Price$145.46

Upside / Downside-77.3%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $4.13B

Target EV/EBITDA multipleCurrent: 23.8×

Net Debt($B)Default: $9.15B

Results

Implied Equity Value / share$145.49

Current Price$145.46

Upside / Downside+0.0%

Implied EV$98.20B

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

Mult \ Net Debt	$5.15B	$7.15B	$9.15B	$11.15B	$13.15B
19.8x	$125.01	$121.74	$118.47	$115.21	$111.94
21.8x	$138.52	$135.25	$131.98	$128.72	$125.45
23.8x	$152.03	$148.76	$145.49	$142.22	$138.96
25.8x	$165.53	$162.27	$159.00	$155.73	$152.46
27.8x	$179.04	$175.78	$172.51	$169.24	$165.97

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