ZM — Valuation Models

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

Valuation Summary

Model	Intrinsic Value	vs Price ($72.72)
DCF	$10249.11	+13993.9%
Graham Number	$61.95	-14.8%
Reverse DCF	—	implied g: -13.6%
DDM	—	—
EV/EBITDA	$80.69	+11.0%

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

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $1.96B

Near-term growth (yrs 1–5)(%)Rev: 5.3% / EPS: 91.5%

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 9.61%

Computed WACC: 9.61%

Cost of equity (Re)9.64%(Rf 4.30% + β 0.97 × 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)99.73%

Debt weight (D/V)0.27%

Results

Intrinsic Value / share$9052.75

Current Price$72.72

Upside / Downside+12348.8%

Net Debt (used)-$7.76B

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

WACC \ Near-term	83.5%	87.5%	91.5%	95.5%	99.5%
7.0%	$13534.04	$15065.58	$16733.21	$18545.80	$20512.61
8.0%	$10421.54	$11598.87	$12880.74	$14273.98	$15785.69
9.0%	$8308.46	$9245.36	$10265.39	$11373.98	$12576.78
10.0%	$6791.92	$7556.29	$8388.45	$9292.79	$10273.94
11.0%	$5658.88	$6294.39	$6986.21	$7738.00	$8553.59

2 — Graham Number

Assumptions

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

EPS (trailing)($)Yahoo: $5.14

Book Value / share($)Yahoo: $33.19

Results

Graham Number$61.95

Current Price$72.72

Margin of Safety-14.8%

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

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 9.61%

Terminal growth rate(%)

Computed WACC: 9.61%

Cost of equity (Re)9.64%(Rf 4.30% + β 0.97 × 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)99.73%

Debt weight (D/V)0.27%

Results

Current Price$72.72

Implied Near-term FCF Growth-12.4%

Historical Revenue Growth5.3%

Historical Earnings Growth91.5%

Base FCF (TTM)$1.96B

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: —

Dividend growth rate (g)(%)

Required return (r)(%)

Results

This company does not pay a dividend. DDM is not applicable — the intrinsic value shown uses D0 = $0 unless you enter a hypothetical dividend above.

DDM Intrinsic Value / share—

Current Price$72.72

Upside / Downside—

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $1.27B

Target EV/EBITDA multipleCurrent: 10.7×

Net Debt($B)Default: -$7.76B

Results

Implied Equity Value / share$80.69

Current Price$72.72

Upside / Downside+11.0%

Implied EV$13.67B

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

Mult \ Net Debt	-$11.76B	-$9.76B	-$7.76B	-$5.76B	-$3.76B
6.7x	$76.55	$69.02	$61.49	$53.96	$46.43
8.7x	$86.15	$78.62	$71.09	$63.56	$56.03
10.7x	$95.75	$88.22	$80.69	$73.16	$65.62
12.7x	$105.35	$97.82	$90.29	$82.76	$75.22
14.7x	$114.95	$107.42	$99.89	$92.35	$84.82

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