SGI — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($87.42)
DCF	$942.24	+977.8%
Graham Number	$24.76	-71.7%
Reverse DCF	—	implied g: 21.7%
DDM	$14.01	-84.0%
EV/EBITDA	$87.65	+0.3%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $540.49M

Near-term growth (yrs 1–5)(%)Rev: 54.7% / EPS: 62.4%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 8.27%

Computed WACC: 8.27%

Cost of equity (Re)11.27%(Rf 4.30% + β 1.27 × 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)73.33%

Debt weight (D/V)26.67%

Results

Intrinsic Value / share$1107.65

Current Price$87.42

Upside / Downside+1167.0%

Net Debt (used)$6.54B

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

WACC \ Near-term	54.4%	58.4%	62.4%	66.4%	70.4%
7.0%	$1184.70	$1348.95	$1530.56	$1730.86	$1951.28
8.0%	$912.76	$1039.95	$1180.56	$1335.62	$1506.24
9.0%	$727.58	$829.54	$942.24	$1066.51	$1203.23
10.0%	$594.23	$678.03	$770.65	$872.76	$985.07
11.0%	$494.24	$564.43	$641.99	$727.49	$821.53

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $1.84

Book Value / share($)Yahoo: $14.81

Results

Graham Number$24.76

Current Price$87.42

Margin of Safety-71.7%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 8.27%

Terminal growth rate(%)

Computed WACC: 8.27%

Cost of equity (Re)11.27%(Rf 4.30% + β 1.27 × 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)73.33%

Debt weight (D/V)26.67%

Results

Current Price$87.42

Implied Near-term FCF Growth19.3%

Historical Revenue Growth54.7%

Historical Earnings Growth62.4%

Base FCF (TTM)$540.49M

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: $0.68

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$14.01

Current Price$87.42

Upside / Downside-84.0%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $1.05B

Target EV/EBITDA multipleCurrent: 23.8×

Net Debt($B)Default: $6.54B

Results

Implied Equity Value / share$87.65

Current Price$87.42

Upside / Downside+0.3%

Implied EV$24.94B

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

Mult \ Net Debt	$2.54B	$4.54B	$6.54B	$8.54B	$10.54B
19.8x	$86.71	$77.19	$67.66	$58.13	$48.60
21.8x	$96.71	$87.18	$77.65	$68.12	$58.60
23.8x	$106.70	$97.17	$87.65	$78.12	$68.59
25.8x	$116.70	$107.17	$97.64	$88.11	$78.58
27.8x	$126.69	$117.16	$107.63	$98.11	$88.58

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