VTR — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($86.64)
DCF	$89.17	+2.9%
Graham Number	$17.90	-79.3%
Reverse DCF	—	implied g: 21.0%
DDM	$42.85	-50.5%
EV/EBITDA	$87.07	+0.5%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $1.21B

Near-term growth (yrs 1–5)(%)Rev: 21.4% / EPS: 10.1%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 7.30%

Computed WACC: 7.30%

Cost of equity (Re)8.48%(Rf 4.30% + β 0.76 × ERP 5.50%)

Cost of debt (Rd)4.61%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)75.69%

Debt weight (D/V)24.31%

Results

Intrinsic Value / share$136.83

Current Price$86.64

Upside / Downside+57.9%

Net Debt (used)$12.48B

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

WACC \ Near-term	13.4%	17.4%	21.4%	25.4%	29.4%
7.0%	$100.20	$123.01	$149.07	$178.71	$212.31
8.0%	$74.92	$92.96	$113.56	$136.98	$163.51
9.0%	$57.54	$72.32	$89.17	$108.33	$130.01
10.0%	$44.90	$57.30	$71.44	$87.50	$105.66
11.0%	$35.31	$45.92	$58.00	$71.72	$87.22

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $0.54

Book Value / share($)Yahoo: $26.38

Results

Graham Number$17.90

Current Price$86.64

Margin of Safety-79.3%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 7.30%

Terminal growth rate(%)

Computed WACC: 7.30%

Cost of equity (Re)8.48%(Rf 4.30% + β 0.76 × ERP 5.50%)

Cost of debt (Rd)4.61%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)75.69%

Debt weight (D/V)24.31%

Results

Current Price$86.64

Implied Near-term FCF Growth15.2%

Historical Revenue Growth21.4%

Historical Earnings Growth10.1%

Base FCF (TTM)$1.21B

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: $2.08

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$42.85

Current Price$86.64

Upside / Downside-50.5%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $2.21B

Target EV/EBITDA multipleCurrent: 24.3×

Net Debt($B)Default: $12.48B

Results

Implied Equity Value / share$87.07

Current Price$86.64

Upside / Downside+0.5%

Implied EV$53.84B

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

Mult \ Net Debt	$6.48B	$9.48B	$12.48B	$15.48B	$18.48B
20.3x	$81.07	$74.75	$68.44	$62.12	$55.80
22.3x	$90.39	$84.07	$77.76	$71.44	$65.12
24.3x	$99.71	$93.39	$87.07	$80.76	$74.44
26.3x	$109.03	$102.71	$96.39	$90.08	$83.76
28.3x	$118.35	$112.03	$105.71	$99.40	$93.08

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