VRSK — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($213.75)
DCF	$109.22	-48.9%
Graham Number	$18.06	-91.6%
Reverse DCF	—	implied g: 15.2%
DDM	$41.20	-80.7%
EV/EBITDA	$214.80	+0.5%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $1.01B

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

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 7.46%

Computed WACC: 7.46%

Cost of equity (Re)8.68%(Rf 4.30% + β 0.80 × 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)85.87%

Debt weight (D/V)14.13%

Results

Intrinsic Value / share$149.74

Current Price$213.75

Upside / Downside-29.9%

Net Debt (used)$2.72B

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$110.33	$136.63	$167.23	$202.64	$243.43
8.0%	$87.19	$108.36	$132.95	$161.37	$194.07
9.0%	$71.15	$88.78	$109.22	$132.82	$159.94
10.0%	$59.38	$74.42	$91.83	$111.91	$134.95
11.0%	$50.36	$63.43	$78.54	$95.93	$115.87

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $6.49

Book Value / share($)Yahoo: $2.23

Results

Graham Number$18.06

Current Price$213.75

Margin of Safety-91.6%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 7.46%

Terminal growth rate(%)

Computed WACC: 7.46%

Cost of equity (Re)8.68%(Rf 4.30% + β 0.80 × 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)85.87%

Debt weight (D/V)14.13%

Results

Current Price$213.75

Implied Near-term FCF Growth10.3%

Historical Revenue Growth—

Historical Earnings Growth—

Base FCF (TTM)$1.01B

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: $2.00

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$41.20

Current Price$213.75

Upside / Downside-80.7%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $1.48B

Target EV/EBITDA multipleCurrent: 21.8×

Net Debt($B)Default: $2.72B

Results

Implied Equity Value / share$214.80

Current Price$213.75

Upside / Downside+0.5%

Implied EV$32.35B

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

Mult \ Net Debt	$721.50M	$1.72B	$2.72B	$3.72B	$4.72B
17.8x	$186.24	$178.99	$171.74	$164.49	$157.24
19.8x	$207.77	$200.52	$193.27	$186.02	$178.77
21.8x	$229.30	$222.05	$214.80	$207.55	$200.30
23.8x	$250.83	$243.58	$236.33	$229.08	$221.83
25.8x	$272.36	$265.11	$257.86	$250.61	$243.36

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