MGRC — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($107.26)
DCF	$367.75	+242.9%
Graham Number	$81.68	-23.8%
Reverse DCF	—	implied g: 8.6%
DDM	$40.17	-62.5%
EV/EBITDA	$110.20	+2.7%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $146.16M

Near-term growth (yrs 1–5)(%)Rev: 5.3% / EPS: 28.1%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 6.60%

Computed WACC: 6.60%

Cost of equity (Re)7.01%(Rf 4.30% + β 0.49 × ERP 5.50%)

Cost of debt (Rd)5.80%(interest expense ÷ avg debt (SEC))

Tax rate (T)21.00%(US statutory fallback)

Equity weight (E/V)83.34%

Debt weight (D/V)16.66%

Results

Intrinsic Value / share$646.20

Current Price$107.26

Upside / Downside+502.5%

Net Debt (used)$527.50M

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

WACC \ Near-term	20.1%	24.1%	28.1%	32.1%	36.1%
7.0%	$417.81	$493.22	$578.81	$675.59	$784.63
8.0%	$327.31	$386.66	$453.99	$530.09	$615.79
9.0%	$265.24	$313.60	$368.43	$430.37	$500.09
10.0%	$220.20	$260.60	$306.37	$358.05	$416.19
11.0%	$186.15	$220.53	$259.46	$303.40	$352.81

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $5.90

Book Value / share($)Yahoo: $50.26

Results

Graham Number$81.68

Current Price$107.26

Margin of Safety-23.8%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 6.60%

Terminal growth rate(%)

Computed WACC: 6.60%

Cost of equity (Re)7.01%(Rf 4.30% + β 0.49 × ERP 5.50%)

Cost of debt (Rd)5.80%(interest expense ÷ avg debt (SEC))

Tax rate (T)21.00%(US statutory fallback)

Equity weight (E/V)83.34%

Debt weight (D/V)16.66%

Results

Current Price$107.26

Implied Near-term FCF Growth1.0%

Historical Revenue Growth5.3%

Historical Earnings Growth28.1%

Base FCF (TTM)$146.16M

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: $1.95

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$40.17

Current Price$107.26

Upside / Downside-62.5%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $263.76M

Target EV/EBITDA multipleCurrent: 12.3×

Net Debt($B)Default: $527.50M

Results

Implied Equity Value / share$110.20

Current Price$107.26

Upside / Downside+2.7%

Implied EV$3.24B

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

Mult \ Net Debt	-$1.47B	-$472.50M	$527.50M	$1.53B	$2.53B
8.3x	$148.60	$107.96	$67.33	$26.70	$-13.93
10.3x	$170.03	$129.40	$88.77	$48.14	$7.50
12.3x	$191.46	$150.83	$110.20	$69.57	$28.94
14.3x	$212.90	$172.26	$131.63	$91.00	$50.37
16.3x	$234.33	$193.70	$153.07	$112.44	$71.80

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