ROL — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($60.88)
DCF	$25.03	-58.9%
Graham Number	$8.37	-86.3%
Reverse DCF	—	implied g: 24.7%
DDM	$15.04	-75.3%
EV/EBITDA	$60.89	+0.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $555.21M

Near-term growth (yrs 1–5)(%)Rev: 9.7% / EPS: 9.9%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 8.34%

Computed WACC: 8.34%

Cost of equity (Re)8.63%(Rf 4.30% + β 0.79 × 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)96.58%

Debt weight (D/V)3.42%

Results

Intrinsic Value / share$28.33

Current Price$60.88

Upside / Downside-53.5%

Net Debt (used)$938.00M

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

WACC \ Near-term	1.9%	5.9%	9.9%	13.9%	17.9%
7.0%	$26.06	$31.54	$37.88	$45.19	$53.56
8.0%	$20.85	$25.24	$30.31	$36.14	$42.81
9.0%	$17.25	$20.89	$25.08	$29.89	$35.40
10.0%	$14.62	$17.70	$21.25	$25.33	$29.98
11.0%	$12.61	$15.28	$18.34	$21.85	$25.86

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $1.09

Book Value / share($)Yahoo: $2.86

Results

Graham Number$8.37

Current Price$60.88

Margin of Safety-86.3%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 8.34%

Terminal growth rate(%)

Computed WACC: 8.34%

Cost of equity (Re)8.63%(Rf 4.30% + β 0.79 × 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)96.58%

Debt weight (D/V)3.42%

Results

Current Price$60.88

Implied Near-term FCF Growth22.5%

Historical Revenue Growth9.7%

Historical Earnings Growth9.9%

Base FCF (TTM)$555.21M

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: $0.73

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$15.04

Current Price$60.88

Upside / Downside-75.3%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $854.01M

Target EV/EBITDA multipleCurrent: 35.4×

Net Debt($B)Default: $938.00M

Results

Implied Equity Value / share$60.89

Current Price$60.88

Upside / Downside+0.0%

Implied EV$30.23B

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

Mult \ Net Debt	-$1.06B	-$62.00M	$938.00M	$1.94B	$2.94B
31.4x	$57.95	$55.87	$53.79	$51.71	$49.63
33.4x	$61.50	$59.42	$57.34	$55.26	$53.18
35.4x	$65.05	$62.97	$60.89	$58.81	$56.73
37.4x	$68.60	$66.52	$64.44	$62.36	$60.28
39.4x	$72.15	$70.07	$67.99	$65.91	$63.83

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