RRX — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($221.40)
DCF	$3280.40	+1381.7%
Graham Number	$98.69	-55.4%
Reverse DCF	—	implied g: 9.2%
DDM	$28.84	-87.0%
EV/EBITDA	$221.49	+0.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $851.88M

Near-term growth (yrs 1–5)(%)Rev: 4.3% / EPS: 54.7%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 7.75%

Computed WACC: 7.75%

Cost of equity (Re)10.35%(Rf 4.30% + β 1.10 × 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)74.84%

Debt weight (D/V)25.16%

Results

Intrinsic Value / share$4345.88

Current Price$221.40

Upside / Downside+1862.9%

Net Debt (used)$4.42B

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

WACC \ Near-term	46.7%	50.7%	54.7%	58.7%	62.7%
7.0%	$4044.45	$4628.78	$5278.07	$5997.61	$6792.98
8.0%	$3135.87	$3589.55	$4093.57	$4652.04	$5269.25
9.0%	$2516.47	$2881.13	$3286.17	$3734.89	$4230.72
10.0%	$2069.88	$2370.39	$2704.12	$3073.76	$3482.14
11.0%	$1734.55	$1986.93	$2267.15	$2577.46	$2920.24

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $4.20

Book Value / share($)Yahoo: $103.07

Results

Graham Number$98.69

Current Price$221.40

Margin of Safety-55.4%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 7.75%

Terminal growth rate(%)

Computed WACC: 7.75%

Cost of equity (Re)10.35%(Rf 4.30% + β 1.10 × 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)74.84%

Debt weight (D/V)25.16%

Results

Current Price$221.40

Implied Near-term FCF Growth5.5%

Historical Revenue Growth4.3%

Historical Earnings Growth54.7%

Base FCF (TTM)$851.88M

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: $1.40

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$28.84

Current Price$221.40

Upside / Downside-87.0%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $1.20B

Target EV/EBITDA multipleCurrent: 16.0×

Net Debt($B)Default: $4.42B

Results

Implied Equity Value / share$221.49

Current Price$221.40

Upside / Downside+0.0%

Implied EV$19.12B

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

Mult \ Net Debt	$2.42B	$3.42B	$4.42B	$5.42B	$6.42B
12.0x	$179.41	$164.35	$149.28	$134.22	$119.16
14.0x	$215.51	$200.45	$185.39	$170.32	$155.26
16.0x	$251.61	$236.55	$221.49	$206.43	$191.36
18.0x	$287.72	$272.65	$257.59	$242.53	$227.47
20.0x	$323.82	$308.76	$293.69	$278.63	$263.57

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