KMI — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($33.90)
DCF	$26.38	-22.2%
Graham Number	$20.78	-38.7%
Reverse DCF	—	implied g: 52.7%
DDM	$24.10	-28.9%
EV/EBITDA	$34.47	+1.7%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $455.88M

Near-term growth (yrs 1–5)(%)Rev: 13.1% / EPS: 49.3%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 5.50%

Computed WACC: 5.50%

Cost of equity (Re)7.86%(Rf 4.30% + β 0.65 × 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)69.98%

Debt weight (D/V)30.02%

Results

Intrinsic Value / share$89.91

Current Price$33.90

Upside / Downside+165.2%

Net Debt (used)$32.29B

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

WACC \ Near-term	41.3%	45.3%	49.3%	53.3%	57.3%
7.0%	$34.82	$42.09	$50.20	$59.23	$69.24
8.0%	$24.03	$29.69	$36.00	$43.02	$50.80
9.0%	$16.66	$21.22	$26.31	$31.96	$38.22
10.0%	$11.35	$15.12	$19.31	$23.98	$29.15
11.0%	$7.36	$10.53	$14.06	$17.98	$22.33

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $1.37

Book Value / share($)Yahoo: $14.01

Results

Graham Number$20.78

Current Price$33.90

Margin of Safety-38.7%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 5.50%

Terminal growth rate(%)

Computed WACC: 5.50%

Cost of equity (Re)7.86%(Rf 4.30% + β 0.65 × 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)69.98%

Debt weight (D/V)30.02%

Results

Current Price$33.90

Implied Near-term FCF Growth35.0%

Historical Revenue Growth13.1%

Historical Earnings Growth49.3%

Base FCF (TTM)$455.88M

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: $1.17

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$24.10

Current Price$33.90

Upside / Downside-28.9%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $7.11B

Target EV/EBITDA multipleCurrent: 15.3×

Net Debt($B)Default: $32.29B

Results

Implied Equity Value / share$34.47

Current Price$33.90

Upside / Downside+1.7%

Implied EV$108.97B

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

Mult \ Net Debt	$16.29B	$24.29B	$32.29B	$40.29B	$48.29B
11.3x	$28.87	$25.27	$21.68	$18.08	$14.48
13.3x	$35.26	$31.67	$28.07	$24.48	$20.88
15.3x	$41.66	$38.06	$34.47	$30.87	$27.28
17.3x	$48.06	$44.46	$40.86	$37.27	$33.67
19.3x	$54.45	$50.86	$47.26	$43.66	$40.07

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