WRB — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($73.24)
DCF	$157.84	+115.5%
Graham Number	$50.75	-30.7%
Reverse DCF	—	implied g: -8.3%
DDM	$7.42	-89.9%
EV/EBITDA	$72.75	-0.7%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $3.35B

Near-term growth (yrs 1–5)(%)Rev: 1.5% / EPS: -21.8%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 5.86%

Computed WACC: 5.86%

Cost of equity (Re)6.15%(Rf 4.30% + β 0.34 × ERP 5.50%)

Cost of debt (Rd)4.09%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)89.98%

Debt weight (D/V)10.02%

Results

Intrinsic Value / share$305.51

Current Price$73.24

Upside / Downside+317.1%

Net Debt (used)-$660.87M

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

WACC \ Near-term	-3.0%	1.0%	5.0%	9.0%	13.0%
7.0%	$159.18	$191.01	$228.05	$270.92	$320.29
8.0%	$131.17	$156.79	$186.55	$220.96	$260.54
9.0%	$111.76	$133.09	$157.84	$186.40	$219.23
10.0%	$97.51	$115.71	$136.79	$161.09	$188.98
11.0%	$86.60	$102.41	$120.70	$141.75	$165.89

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $4.45

Book Value / share($)Yahoo: $25.72

Results

Graham Number$50.75

Current Price$73.24

Margin of Safety-30.7%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 5.86%

Terminal growth rate(%)

Computed WACC: 5.86%

Cost of equity (Re)6.15%(Rf 4.30% + β 0.34 × ERP 5.50%)

Cost of debt (Rd)4.09%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)89.98%

Debt weight (D/V)10.02%

Results

Current Price$73.24

Implied Near-term FCF Growth-16.7%

Historical Revenue Growth1.5%

Historical Earnings Growth-21.8%

Base FCF (TTM)$3.35B

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: $0.36

Dividend growth rate (g)(%)

Required return (r)(%)

Results

DDM Intrinsic Value / share$7.42

Current Price$73.24

Upside / Downside-89.9%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $2.54B

Target EV/EBITDA multipleCurrent: 10.5×

Net Debt($B)Default: -$660.87M

Results

Implied Equity Value / share$72.75

Current Price$73.24

Upside / Downside-0.7%

Implied EV$26.78B

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

Mult \ Net Debt	-$2.66B	-$1.66B	-$660.87M	$339.13M	$1.34B
6.5x	$51.13	$48.48	$45.82	$43.17	$40.52
8.5x	$64.59	$61.94	$59.29	$56.64	$53.99
10.5x	$78.05	$75.40	$72.75	$70.10	$67.45
12.5x	$91.52	$88.87	$86.21	$83.56	$80.91
14.5x	$104.98	$102.33	$99.68	$97.03	$94.38

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