VRTX — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($496.83)
DCF	$879.71	+77.1%
Graham Number	$159.06	-68.0%
Reverse DCF	—	implied g: 22.2%
DDM	—	—
EV/EBITDA	$496.90	+0.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $2.57B

Near-term growth (yrs 1–5)(%)Rev: 9.5% / EPS: 32.9%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 5.96%

Computed WACC: 5.96%

Cost of equity (Re)6.05%(Rf 4.30% + β 0.32 × 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)98.41%

Debt weight (D/V)1.59%

Results

Intrinsic Value / share$1823.61

Current Price$496.83

Upside / Downside+267.0%

Net Debt (used)-$4.57B

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

WACC \ Near-term	24.9%	28.9%	32.9%	36.9%	40.9%
7.0%	$1004.69	$1168.20	$1352.98	$1561.05	$1794.57
8.0%	$797.90	$926.21	$1071.14	$1234.28	$1417.30
9.0%	$656.29	$760.52	$878.20	$1010.60	$1159.09
10.0%	$553.67	$640.48	$738.43	$848.60	$972.11
11.0%	$476.20	$549.87	$632.96	$726.38	$831.05

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $15.30

Book Value / share($)Yahoo: $73.49

Results

Graham Number$159.06

Current Price$496.83

Margin of Safety-68.0%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 5.96%

Terminal growth rate(%)

Computed WACC: 5.96%

Cost of equity (Re)6.05%(Rf 4.30% + β 0.32 × 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)98.41%

Debt weight (D/V)1.59%

Results

Current Price$496.83

Implied Near-term FCF Growth10.6%

Historical Revenue Growth9.5%

Historical Earnings Growth32.9%

Base FCF (TTM)$2.57B

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$496.83

Upside / Downside—

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $4.87B

Target EV/EBITDA multipleCurrent: 25.0×

Net Debt($B)Default: -$4.57B

Results

Implied Equity Value / share$496.90

Current Price$496.83

Upside / Downside+0.0%

Implied EV$121.64B

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

Mult \ Net Debt	-$6.57B	-$5.57B	-$4.57B	-$3.57B	-$2.57B
21.0x	$428.14	$424.21	$420.27	$416.33	$412.40
23.0x	$466.46	$462.52	$458.58	$454.65	$450.71
25.0x	$504.77	$500.84	$496.90	$492.96	$489.03
27.0x	$543.09	$539.15	$535.21	$531.28	$527.34
29.0x	$581.40	$577.47	$573.53	$569.59	$565.65

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