MELI — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($1777.00)
DCF	$-7716.68	-534.3%
Graham Number	$343.72	-80.7%
Reverse DCF	—	—
DDM	—	—
EV/EBITDA	$1776.96	-0.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: -$2.46B

Near-term growth (yrs 1–5)(%)Rev: 44.6% / EPS: -12.5%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 10.91%

Computed WACC: 10.91%

Cost of equity (Re)12.29%(Rf 4.30% + β 1.45 × 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)88.75%

Debt weight (D/V)11.25%

Results

Intrinsic Value / share$-5535.89

Current Price$1777.00

Upside / Downside-411.5%

Net Debt (used)$5.11B

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

WACC \ Near-term	36.6%	40.6%	44.6%	48.6%	52.6%
7.0%	$-9181.21	$-10564.77	$-12113.36	$-13841.37	$-15764.02
8.0%	$-7214.70	$-8293.53	$-9500.69	$-10847.39	$-12345.42
9.0%	$-5871.65	$-6742.50	$-7716.68	$-8803.17	$-10011.47
10.0%	$-4901.37	$-5622.10	$-6428.11	$-7326.79	$-8325.99
11.0%	$-4171.25	$-4779.13	$-5458.72	$-6216.24	$-7058.26

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $39.45

Book Value / share($)Yahoo: $133.10

Results

Graham Number$343.72

Current Price$1777.00

Margin of Safety-80.7%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 10.91%

Terminal growth rate(%)

Computed WACC: 10.91%

Cost of equity (Re)12.29%(Rf 4.30% + β 1.45 × 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)88.75%

Debt weight (D/V)11.25%

Results

Reverse DCF requires positive TTM free cash flow.

Current Price$1777.00

Implied Near-term FCF Growth—

Historical Revenue Growth44.6%

Historical Earnings Growth-12.5%

Base FCF (TTM)-$2.46B

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$1777.00

Upside / Downside—

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $4.02B

Target EV/EBITDA multipleCurrent: 23.7×

Net Debt($B)Default: $5.11B

Results

Implied Equity Value / share$1776.96

Current Price$1777.00

Upside / Downside-0.0%

Implied EV$95.19B

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

Mult \ Net Debt	$3.11B	$4.11B	$5.11B	$6.11B	$7.11B
19.7x	$1499.31	$1479.59	$1459.86	$1440.14	$1420.41
21.7x	$1657.86	$1638.14	$1618.41	$1598.69	$1578.96
23.7x	$1816.41	$1796.69	$1776.96	$1757.24	$1737.51
25.7x	$1974.96	$1955.24	$1935.51	$1915.79	$1896.06
27.7x	$2133.51	$2113.79	$2094.06	$2074.34	$2054.61

← Overview Financial Statements ← Companies