ROKU — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($95.35)
DCF	$182.80	+91.7%
Graham Number	$15.45	-83.8%
Reverse DCF	—	implied g: 3.6%
DDM	—	—
EV/EBITDA	$110.63	+16.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $660.96M

Near-term growth (yrs 1–5)(%)Rev: 16.1% / EPS: —

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 14.99%

Computed WACC: 14.99%

Cost of equity (Re)15.55%(Rf 4.30% + β 2.04 × 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)96.41%

Debt weight (D/V)3.59%

Results

Intrinsic Value / share$93.84

Current Price$95.35

Upside / Downside-1.6%

Net Debt (used)-$1.79B

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

WACC \ Near-term	8.1%	12.1%	16.1%	20.1%	24.1%
7.0%	$194.81	$228.76	$267.76	$312.36	$363.15
8.0%	$159.66	$186.64	$217.60	$252.99	$293.26
9.0%	$135.44	$157.63	$183.08	$212.14	$245.19
10.0%	$117.78	$136.49	$157.93	$182.39	$210.19
11.0%	$104.36	$120.43	$138.83	$159.80	$183.62

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $0.59

Book Value / share($)Yahoo: $17.98

Results

Graham Number$15.45

Current Price$95.35

Margin of Safety-83.8%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 14.99%

Terminal growth rate(%)

Computed WACC: 14.99%

Cost of equity (Re)15.55%(Rf 4.30% + β 2.04 × 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)96.41%

Debt weight (D/V)3.59%

Results

Current Price$95.35

Implied Near-term FCF Growth16.5%

Historical Revenue Growth16.1%

Historical Earnings Growth—

Base FCF (TTM)$660.96M

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: —

Dividend growth rate (g)(%)

Required return (r)(%)

Results

This company does not pay a dividend. DDM is not applicable — the intrinsic value shown uses D0 = $0 unless you enter a hypothetical dividend above.

DDM Intrinsic Value / share—

Current Price$95.35

Upside / Downside—

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $278.17M

Target EV/EBITDA multipleCurrent: 45.5×

Net Debt($B)Default: -$1.79B

Results

Implied Equity Value / share$110.63

Current Price$95.35

Upside / Downside+16.0%

Implied EV$12.67B

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

Mult \ Net Debt	-$1.79B	-$1.79B	-$1.79B	-$1.79B	-$1.79B
41.5x	$102.12	$102.12	$102.12	$102.12	$102.12
43.5x	$106.37	$106.37	$106.37	$106.37	$106.37
45.5x	$110.63	$110.63	$110.63	$110.63	$110.63
47.5x	$114.89	$114.89	$114.89	$114.89	$114.89
49.5x	$119.14	$119.14	$119.14	$119.14	$119.14

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