PM — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($186.83)
DCF	$83.30	-55.4%
Graham Number	—	—
Reverse DCF	—	implied g: 18.1%
DDM	$121.13	-35.2%
EV/EBITDA	$188.09	+0.7%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $8.94B

Near-term growth (yrs 1–5)(%)Rev: 6.8% / EPS: —

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 5.60%

Computed WACC: 5.60%

Cost of equity (Re)6.55%(Rf 4.30% + β 0.41 × 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)85.43%

Debt weight (D/V)14.57%

Results

Intrinsic Value / share$210.34

Current Price$186.83

Upside / Downside+12.6%

Net Debt (used)$44.72B

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

WACC \ Near-term	-1.2%	2.8%	6.8%	10.8%	14.8%
7.0%	$85.41	$108.23	$134.72	$165.31	$200.48
8.0%	$64.76	$83.08	$104.32	$128.82	$156.96
9.0%	$50.46	$65.68	$83.30	$103.61	$126.90
10.0%	$39.98	$52.93	$67.92	$85.16	$104.91
11.0%	$31.96	$43.20	$56.17	$71.08	$88.14

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $7.27

Book Value / share($)Yahoo: $-6.42

Results

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

Graham Number—

Current Price$186.83

Margin of Safety—

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 5.60%

Terminal growth rate(%)

Computed WACC: 5.60%

Cost of equity (Re)6.55%(Rf 4.30% + β 0.41 × 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)85.43%

Debt weight (D/V)14.57%

Results

Current Price$186.83

Implied Near-term FCF Growth5.2%

Historical Revenue Growth6.8%

Historical Earnings Growth—

Base FCF (TTM)$8.94B

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: $5.88

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$121.13

Current Price$186.83

Upside / Downside-35.2%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $18.72B

Target EV/EBITDA multipleCurrent: 18.0×

Net Debt($B)Default: $44.72B

Results

Implied Equity Value / share$188.09

Current Price$186.83

Upside / Downside+0.7%

Implied EV$337.52B

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

Mult \ Net Debt	$22.72B	$33.72B	$44.72B	$55.72B	$66.72B
14.0x	$154.12	$147.05	$139.98	$132.92	$125.85
16.0x	$178.17	$171.10	$164.04	$156.97	$149.90
18.0x	$202.22	$195.16	$188.09	$181.02	$173.96
20.0x	$226.28	$219.21	$212.14	$205.08	$198.01
22.0x	$250.33	$243.26	$236.20	$229.13	$222.07

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