PG — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($163.51)
DCF	$88.53	-45.9%
Graham Number	$58.45	-64.3%
Reverse DCF	—	implied g: 14.7%
DDM	$87.14	-46.7%
EV/EBITDA	$163.07	-0.3%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $13.25B

Near-term growth (yrs 1–5)(%)Rev: 1.5% / EPS: -5.4%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 5.83%

Computed WACC: 5.83%

Cost of equity (Re)6.39%(Rf 4.30% + β 0.38 × 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)91.26%

Debt weight (D/V)8.74%

Results

Intrinsic Value / share$184.49

Current Price$163.51

Upside / Downside+12.8%

Net Debt (used)$25.81B

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$89.38	$109.69	$133.32	$160.67	$192.16
8.0%	$71.51	$87.86	$106.85	$128.80	$154.04
9.0%	$59.13	$72.74	$88.53	$106.75	$127.69
10.0%	$50.04	$61.65	$75.10	$90.60	$108.39
11.0%	$43.08	$53.17	$64.83	$78.27	$93.66

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $6.75

Book Value / share($)Yahoo: $22.49

Results

Graham Number$58.45

Current Price$163.51

Margin of Safety-64.3%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 5.83%

Terminal growth rate(%)

Computed WACC: 5.83%

Cost of equity (Re)6.39%(Rf 4.30% + β 0.38 × 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)91.26%

Debt weight (D/V)8.74%

Results

Current Price$163.51

Implied Near-term FCF Growth3.2%

Historical Revenue Growth1.5%

Historical Earnings Growth-5.4%

Base FCF (TTM)$13.25B

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: $4.23

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$87.14

Current Price$163.51

Upside / Downside-46.7%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $24.76B

Target EV/EBITDA multipleCurrent: 16.4×

Net Debt($B)Default: $25.81B

Results

Implied Equity Value / share$163.07

Current Price$163.51

Upside / Downside-0.3%

Implied EV$406.86B

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

Mult \ Net Debt	$13.81B	$19.81B	$25.81B	$31.81B	$37.81B
12.4x	$125.81	$123.24	$120.68	$118.11	$115.54
14.4x	$147.01	$144.44	$141.87	$139.31	$136.74
16.4x	$168.20	$165.64	$163.07	$160.50	$157.93
18.4x	$189.40	$186.83	$184.27	$181.70	$179.13
20.4x	$210.60	$208.03	$205.46	$202.89	$200.33

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