QSR — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($71.97)
DCF	$39.23	-45.5%
Graham Number	$24.92	-65.4%
Reverse DCF	—	implied g: 13.2%
DDM	$53.56	-25.6%
EV/EBITDA	$76.39	+6.1%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $1.39B

Near-term growth (yrs 1–5)(%)Rev: 7.4% / EPS: -57.4%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 4.99%

Computed WACC: 4.99%

Cost of equity (Re)7.38%(Rf 4.30% + β 0.56 × 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)67.66%

Debt weight (D/V)32.34%

Results

Intrinsic Value / share$175.28

Current Price$71.97

Upside / Downside+143.5%

Net Debt (used)$14.51B

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

WACC \ Near-term	-0.6%	3.4%	7.4%	11.4%	15.4%
7.0%	$41.03	$57.54	$76.69	$98.80	$124.20
8.0%	$25.94	$39.19	$54.54	$72.23	$92.54
9.0%	$15.50	$26.50	$39.23	$53.88	$70.68
10.0%	$7.85	$17.21	$28.02	$40.45	$54.69
11.0%	$2.01	$10.11	$19.47	$30.21	$42.51

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $2.63

Book Value / share($)Yahoo: $10.49

Results

Graham Number$24.92

Current Price$71.97

Margin of Safety-65.4%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 4.99%

Terminal growth rate(%)

Computed WACC: 4.99%

Cost of equity (Re)7.38%(Rf 4.30% + β 0.56 × 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)67.66%

Debt weight (D/V)32.34%

Results

Current Price$71.97

Implied Near-term FCF Growth-2.2%

Historical Revenue Growth7.4%

Historical Earnings Growth-57.4%

Base FCF (TTM)$1.39B

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: $2.60

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$53.56

Current Price$71.97

Upside / Downside-25.6%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $2.79B

Target EV/EBITDA multipleCurrent: 14.7×

Net Debt($B)Default: $14.51B

Results

Implied Equity Value / share$76.39

Current Price$71.97

Upside / Downside+6.1%

Implied EV$40.96B

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

Mult \ Net Debt	$6.51B	$10.51B	$14.51B	$18.51B	$22.51B
10.7x	$67.22	$55.67	$44.12	$32.57	$21.02
12.7x	$83.35	$71.80	$60.25	$48.70	$37.15
14.7x	$99.49	$87.94	$76.39	$64.84	$53.29
16.7x	$115.62	$104.07	$92.52	$80.97	$69.42
18.7x	$131.76	$120.21	$108.66	$97.11	$85.56

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