WPP

WPP — Valuation Models

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

Valuation Summary

ModelIntrinsic Valuevs Price ($17.11)
DCF$-19.36-213.2%
Graham Number$12.38-27.6%
Reverse DCF
DDM$44.50+160.1%
EV/EBITDA$86.63+406.3%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Yahoo: -$2.25M
Rev: -8.3% / EPS: —
Default: 9% (no SEC data)

Results

Intrinsic Value / share$-19.36
Current Price$17.11
Upside / Downside-213.2%
Net Debt (used)$4.14B
Sensitivity: WACC (rows) × Near-term g (cols)
WACC \ Near-term-3.0%1.0%5.0%9.0%13.0%
7.0%$-19.36$-19.40$-19.44$-19.50$-19.55
8.0%$-19.33$-19.36$-19.40$-19.44$-19.48
9.0%$-19.31$-19.33$-19.36$-19.40$-19.43
10.0%$-19.29$-19.31$-19.34$-19.37$-19.40
11.0%$-19.28$-19.30$-19.32$-19.34$-19.37

2 — Graham Number

Assumptions

Graham used 22.5 (15× P/E × 1.5× P/B)
Yahoo: $2.16
Yahoo: $3.16

Results

Graham Number$12.38
Current Price$17.11
Margin of Safety-27.6%
Formula: √(22.5 × max(0,EPS) × max(0,BVPS))

3 — Reverse DCF (Implied Growth)

Assumptions

Default: 9% (no SEC data)

Results

Reverse DCF requires positive TTM free cash flow.
Current Price$17.11
Implied Near-term FCF Growth
Historical Revenue Growth-8.3%
Historical Earnings Growth
Base FCF (TTM)-$2.25M
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

Yahoo: $2.16

Results

DDM Intrinsic Value / share$44.50
Current Price$17.11
Upside / Downside+160.1%
Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

Yahoo: $628.00M
Current: 36.4×
Default: $4.14B

Results

Implied Equity Value / share$86.63
Current Price$17.11
Upside / Downside+406.3%
Implied EV$22.83B
Sensitivity: EV/EBITDA multiple (rows) × Net Debt (cols)
Mult \ Net Debt$2.14B$3.14B$4.14B$5.14B$6.14B
32.4x$84.26$79.62$74.99$70.35$65.72
34.4x$90.08$85.44$80.81$76.17$71.54
36.4x$95.90$91.26$86.63$81.99$77.36
38.4x$101.72$97.09$92.45$87.82$83.18
40.4x$107.54$102.91$98.27$93.64$89.00