TMHC — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($64.59)
DCF	$118.73	+83.8%
Graham Number	$106.76	+65.3%
Reverse DCF	—	implied g: -3.7%
DDM	—	—
EV/EBITDA	$66.05	+2.3%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $737.67M

Near-term growth (yrs 1–5)(%)Rev: -10.9% / EPS: -23.4%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 9.47%

Computed WACC: 9.47%

Cost of equity (Re)13.06%(Rf 4.30% + β 1.59 × 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)72.48%

Debt weight (D/V)27.52%

Results

Intrinsic Value / share$109.56

Current Price$64.59

Upside / Downside+69.6%

Net Debt (used)$1.51B

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$119.89	$147.31	$179.21	$216.13	$258.65
8.0%	$95.76	$117.83	$143.47	$173.10	$207.19
9.0%	$79.04	$97.42	$118.73	$143.34	$171.61
10.0%	$66.77	$82.45	$100.60	$121.53	$145.56
11.0%	$57.37	$70.99	$86.75	$104.88	$125.67

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $7.77

Book Value / share($)Yahoo: $65.19

Results

Graham Number$106.76

Current Price$64.59

Margin of Safety+65.3%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 9.47%

Terminal growth rate(%)

Computed WACC: 9.47%

Cost of equity (Re)13.06%(Rf 4.30% + β 1.59 × 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)72.48%

Debt weight (D/V)27.52%

Results

Current Price$64.59

Implied Near-term FCF Growth-2.7%

Historical Revenue Growth-10.9%

Historical Earnings Growth-23.4%

Base FCF (TTM)$737.67M

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$64.59

Upside / Downside—

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $1.20B

Target EV/EBITDA multipleCurrent: 6.5×

Net Debt($B)Default: $1.51B

Results

Implied Equity Value / share$66.05

Current Price$64.59

Upside / Downside+2.3%

Implied EV$7.88B

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

Mult \ Net Debt	$1.51B	$1.51B	$1.51B	$1.51B	$1.51B
2.5x	$16.05	$16.05	$16.05	$16.05	$16.05
4.5x	$41.05	$41.05	$41.05	$41.05	$41.05
6.5x	$66.05	$66.05	$66.05	$66.05	$66.05
8.5x	$91.05	$91.05	$91.05	$91.05	$91.05
10.5x	$116.05	$116.05	$116.05	$116.05	$116.05

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