WFC-PC — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($18.09)
DCF	$135.79	+650.6%
Graham Number	$18.95	+4.7%
Reverse DCF	—	—
DDM	$22.45	+24.1%
EV/EBITDA	—	—

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: —

Near-term growth (yrs 1–5)(%)Rev: 5.0% / EPS: 13.1%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 2.21%

Computed WACC: 2.21%

Cost of equity (Re)10.19%(Rf 4.30% + β 1.07 × 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)21.64%

Debt weight (D/V)78.36%

Results

Intrinsic Value / share—

Current Price$18.09

Upside / Downside—

Net Debt (used)-$5.70B

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

WACC \ Near-term	5.1%	9.1%	13.1%	17.1%	21.1%
7.0%	$135.79	$135.79	$135.79	$135.79	$135.79
8.0%	$135.79	$135.79	$135.79	$135.79	$135.79
9.0%	$135.79	$135.79	$135.79	$135.79	$135.79
10.0%	$135.79	$135.79	$135.79	$135.79	$135.79
11.0%	$135.79	$135.79	$135.79	$135.79	$135.79

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $0.30

Book Value / share($)Yahoo: $53.19

Results

Graham Number$18.95

Current Price$18.09

Margin of Safety+4.7%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 2.21%

Terminal growth rate(%)

Computed WACC: 2.21%

Cost of equity (Re)10.19%(Rf 4.30% + β 1.07 × 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)21.64%

Debt weight (D/V)78.36%

Results

Reverse DCF requires positive TTM free cash flow.

Current Price$18.09

Implied Near-term FCF Growth—

Historical Revenue Growth5.0%

Historical Earnings Growth13.1%

Base FCF (TTM)—

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: $1.09

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$22.45

Current Price$18.09

Upside / Downside+24.1%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: —

Target EV/EBITDA multipleCurrent: —×

Net Debt($B)Default: -$5.70B

Results

Implied Equity Value / share$135.79

Current Price$18.09

Upside / Downside+650.6%

Implied EV$0

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