NKE — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($61.01)
DCF	$35.50	-41.8%
Graham Number	$19.14	-68.6%
Reverse DCF	—	implied g: 13.8%
DDM	$33.78	-44.6%
EV/EBITDA	$75.80	+24.2%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $2.58B

Near-term growth (yrs 1–5)(%)Rev: 0.6% / EPS: -32.1%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 10.08%

Computed WACC: 10.08%

Cost of equity (Re)11.33%(Rf 4.30% + β 1.28 × 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)88.90%

Debt weight (D/V)11.10%

Results

Intrinsic Value / share$30.03

Current Price$61.01

Upside / Downside-50.8%

Net Debt (used)$2.94B

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$35.83	$43.57	$52.58	$63.01	$75.01
8.0%	$29.01	$35.25	$42.49	$50.85	$60.48
9.0%	$24.29	$29.48	$35.50	$42.45	$50.43
10.0%	$20.83	$25.25	$30.38	$36.29	$43.08
11.0%	$18.17	$22.02	$26.47	$31.59	$37.46

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $1.71

Book Value / share($)Yahoo: $9.52

Results

Graham Number$19.14

Current Price$61.01

Margin of Safety-68.6%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 10.08%

Terminal growth rate(%)

Computed WACC: 10.08%

Cost of equity (Re)11.33%(Rf 4.30% + β 1.28 × 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)88.90%

Debt weight (D/V)11.10%

Results

Current Price$61.01

Implied Near-term FCF Growth16.9%

Historical Revenue Growth0.6%

Historical Earnings Growth-32.1%

Base FCF (TTM)$2.58B

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: $1.64

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$33.78

Current Price$61.01

Upside / Downside-44.6%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $3.81B

Target EV/EBITDA multipleCurrent: 24.5×

Net Debt($B)Default: $2.94B

Results

Implied Equity Value / share$75.80

Current Price$61.01

Upside / Downside+24.2%

Implied EV$93.25B

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

Mult \ Net Debt	$937.00M	$1.94B	$2.94B	$3.94B	$4.94B
20.5x	$64.70	$63.86	$63.02	$62.18	$61.34
22.5x	$71.09	$70.25	$69.41	$68.57	$67.73
24.5x	$77.48	$76.64	$75.80	$74.96	$74.12
26.5x	$83.87	$83.03	$82.19	$81.35	$80.51
28.5x	$90.26	$89.42	$88.59	$87.75	$86.91

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