WTS — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($325.71)
DCF	$413.58	+27.0%
Graham Number	$117.91	-63.8%
Reverse DCF	—	implied g: 19.5%
DDM	$42.85	-86.8%
EV/EBITDA	$395.98	+21.6%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $217.32M

Near-term growth (yrs 1–5)(%)Rev: 15.7% / EPS: 23.8%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 10.91%

Computed WACC: 10.91%

Cost of equity (Re)11.09%(Rf 4.30% + β 1.23 × ERP 5.50%)

Cost of debt (Rd)5.47%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)97.38%

Debt weight (D/V)2.62%

Results

Intrinsic Value / share$305.43

Current Price$325.71

Upside / Downside-6.2%

Net Debt (used)-$114.30M

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

WACC \ Near-term	15.8%	19.8%	23.8%	27.8%	31.8%
7.0%	$457.36	$537.67	$629.19	$733.08	$850.56
8.0%	$365.71	$429.12	$501.34	$583.27	$675.87
9.0%	$302.77	$354.59	$413.58	$480.46	$556.02
10.0%	$257.02	$300.44	$349.83	$405.80	$468.99
11.0%	$222.36	$259.44	$301.58	$349.30	$403.15

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $10.16

Book Value / share($)Yahoo: $60.81

Results

Graham Number$117.91

Current Price$325.71

Margin of Safety-63.8%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 10.91%

Terminal growth rate(%)

Computed WACC: 10.91%

Cost of equity (Re)11.09%(Rf 4.30% + β 1.23 × ERP 5.50%)

Cost of debt (Rd)5.47%(interest expense ÷ avg debt (SEC))

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

Equity weight (E/V)97.38%

Debt weight (D/V)2.62%

Results

Current Price$325.71

Implied Near-term FCF Growth25.0%

Historical Revenue Growth15.7%

Historical Earnings Growth23.8%

Base FCF (TTM)$217.32M

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$325.71

Upside / Downside-86.8%

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $528.60M

Target EV/EBITDA multipleCurrent: 20.3×

Net Debt($B)Default: -$114.30M

Results

Implied Equity Value / share$395.98

Current Price$325.71

Upside / Downside+21.6%

Implied EV$10.74B

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

Mult \ Net Debt	-$2.11B	-$1.11B	-$114.30M	$885.70M	$1.89B
16.3x	$391.81	$355.34	$318.88	$282.41	$245.95
18.3x	$430.36	$393.89	$357.43	$320.96	$284.50
20.3x	$468.91	$432.44	$395.98	$359.51	$323.05
22.3x	$507.46	$470.99	$434.53	$398.06	$361.60
24.3x	$546.01	$509.54	$473.08	$436.61	$400.15

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