TEX — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($67.97)
DCF	$40.15	-40.9%
Graham Number	$49.18	-27.6%
Reverse DCF	—	implied g: 13.0%
DDM	$14.01	-79.4%
EV/EBITDA	$68.79	+1.2%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $345.38M

Near-term growth (yrs 1–5)(%)Rev: 6.2% / EPS: —

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 11.35%

Computed WACC: 11.35%

Cost of equity (Re)13.44%(Rf 4.30% + β 1.66 × ERP 5.50%)

Cost of debt (Rd)6.82%(interest expense ÷ avg debt (SEC))

Tax rate (T)21.00%(US statutory fallback)

Equity weight (E/V)74.02%

Debt weight (D/V)25.98%

Results

Intrinsic Value / share$24.60

Current Price$67.97

Upside / Downside-63.8%

Net Debt (used)$1.94B

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

WACC \ Near-term	-1.8%	2.2%	6.2%	10.2%	14.2%
7.0%	$41.03	$52.69	$66.23	$81.89	$99.90
8.0%	$30.57	$39.94	$50.81	$63.36	$77.78
9.0%	$23.33	$31.12	$40.15	$50.55	$62.49
10.0%	$18.02	$24.66	$32.33	$41.17	$51.31
11.0%	$13.96	$19.72	$26.37	$34.02	$42.78

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $3.33

Book Value / share($)Yahoo: $32.28

Results

Graham Number$49.18

Current Price$67.97

Margin of Safety-27.6%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 11.35%

Terminal growth rate(%)

Computed WACC: 11.35%

Cost of equity (Re)13.44%(Rf 4.30% + β 1.66 × ERP 5.50%)

Cost of debt (Rd)6.82%(interest expense ÷ avg debt (SEC))

Tax rate (T)21.00%(US statutory fallback)

Equity weight (E/V)74.02%

Debt weight (D/V)25.98%

Results

Current Price$67.97

Implied Near-term FCF Growth19.3%

Historical Revenue Growth6.2%

Historical Earnings Growth—

Base FCF (TTM)$345.38M

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$67.97

Upside / Downside-79.4%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $630.00M

Target EV/EBITDA multipleCurrent: 15.5×

Net Debt($B)Default: $1.94B

Results

Implied Equity Value / share$68.79

Current Price$67.97

Upside / Downside+1.2%

Implied EV$9.76B

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

Mult \ Net Debt	$1.94B	$1.94B	$1.94B	$1.94B	$1.94B
11.5x	$46.63	$46.63	$46.63	$46.63	$46.63
13.5x	$57.71	$57.71	$57.71	$57.71	$57.71
15.5x	$68.79	$68.79	$68.79	$68.79	$68.79
17.5x	$79.87	$79.87	$79.87	$79.87	$79.87
19.5x	$90.95	$90.95	$90.95	$90.95	$90.95

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