RMR — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($16.48)
DCF	$4392.02	+26542.5%
Graham Number	$20.43	+23.9%
Reverse DCF	—	implied g: -11.7%
DDM	$37.08	+124.9%
EV/EBITDA	$28.74	+74.4%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $56.54M

Near-term growth (yrs 1–5)(%)Rev: 45.8% / EPS: 89.1%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 6.35%

Computed WACC: 6.35%

Cost of equity (Re)9.92%(Rf 4.30% + β 1.02 × 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)63.99%

Debt weight (D/V)36.01%

Results

Intrinsic Value / share$8703.27

Current Price$16.48

Upside / Downside+52695.1%

Net Debt (used)$107.47M

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

WACC \ Near-term	81.1%	85.1%	89.1%	93.1%	97.1%
7.0%	$5765.11	$6428.53	$7151.68	$7938.52	$8793.17
8.0%	$4437.47	$4947.71	$5503.87	$6108.98	$6766.19
9.0%	$3535.94	$3942.19	$4384.97	$4866.69	$5389.87
10.0%	$2888.77	$3220.39	$3581.80	$3974.97	$4401.95
11.0%	$2405.14	$2680.99	$2981.60	$3308.62	$3663.73

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $1.36

Book Value / share($)Yahoo: $13.64

Results

Graham Number$20.43

Current Price$16.48

Margin of Safety+23.9%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 6.35%

Terminal growth rate(%)

Computed WACC: 6.35%

Cost of equity (Re)9.92%(Rf 4.30% + β 1.02 × 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)63.99%

Debt weight (D/V)36.01%

Results

Current Price$16.48

Implied Near-term FCF Growth-18.2%

Historical Revenue Growth45.8%

Historical Earnings Growth89.1%

Base FCF (TTM)$56.54M

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: $1.80

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$37.08

Current Price$16.48

Upside / Downside+124.9%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $97.46M

Target EV/EBITDA multipleCurrent: 5.8×

Net Debt($B)Default: $107.47M

Results

Implied Equity Value / share$28.74

Current Price$16.48

Upside / Downside+74.4%

Implied EV$569.05M

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

Mult \ Net Debt	-$1.89B	-$892.53M	$107.47M	$1.11B	$2.11B
1.8x	$129.02	$66.74	$4.47	$-57.80	$-120.08
3.8x	$141.15	$78.88	$16.61	$-45.67	$-107.94
5.8x	$153.29	$91.02	$28.74	$-33.53	$-95.80
7.8x	$165.43	$103.16	$40.88	$-21.39	$-83.66
9.8x	$177.57	$115.29	$53.02	$-9.25	$-71.53

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