NWL — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($4.30)
DCF	$2.24	-48.0%
Graham Number	—	—
Reverse DCF	—	implied g: 7.2%
DDM	$5.77	+34.0%
EV/EBITDA	$4.44	+3.2%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $350.38M

Near-term growth (yrs 1–5)(%)Rev: -2.7% / EPS: —

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 2.27%

Computed WACC: 2.27%

Cost of equity (Re)9.08%(Rf 4.30% + β 0.87 × 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)25.00%

Debt weight (D/V)75.00%

Results

Intrinsic Value / share—

Current Price$4.30

Upside / Downside—

Net Debt (used)$5.21B

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$2.37	$5.36	$8.84	$12.87	$17.51
8.0%	$-0.27	$2.14	$4.94	$8.17	$11.90
9.0%	$-2.09	$-0.09	$2.24	$4.93	$8.01
10.0%	$-3.43	$-1.72	$0.26	$2.55	$5.17
11.0%	$-4.46	$-2.97	$-1.25	$0.73	$3.00

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $-0.68

Book Value / share($)Yahoo: $5.70

Results

Graham Number requires positive EPS and positive Book Value per share. EPS is zero or negative.

Graham Number—

Current Price$4.30

Margin of Safety—

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 2.27%

Terminal growth rate(%)

Computed WACC: 2.27%

Cost of equity (Re)9.08%(Rf 4.30% + β 0.87 × 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)25.00%

Debt weight (D/V)75.00%

Results

Current Price$4.30

Implied Near-term FCF Growth65.0%

Historical Revenue Growth-2.7%

Historical Earnings Growth—

Base FCF (TTM)$350.38M

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: $0.28

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$5.77

Current Price$4.30

Upside / Downside+34.0%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $799.00M

Target EV/EBITDA multipleCurrent: 8.9×

Net Debt($B)Default: $5.21B

Results

Implied Equity Value / share$4.44

Current Price$4.30

Upside / Downside+3.2%

Implied EV$7.07B

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

Mult \ Net Debt	$3.21B	$4.21B	$5.21B	$6.21B	$7.21B
4.9x	$1.59	$-0.80	$-3.18	$-5.57	$-7.95
6.9x	$5.40	$3.01	$0.63	$-1.76	$-4.14
8.9x	$9.21	$6.83	$4.44	$2.06	$-0.33
10.9x	$13.02	$10.64	$8.25	$5.87	$3.48
12.9x	$16.84	$14.45	$12.06	$9.68	$7.29

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