Sensitivity Analysis
Two-way data tables. Shading indicates relative magnitude within each table only — it does not imply that any outcome is likely or desirable.
Derived
Validation (5)
- Unable to calculate: current share price must be positive.
- Unable to calculate: shares outstanding must be positive.
- Shares outstanding must be positive.
- Unable to calculate: at least one comparable company is required.
- Unable to calculate: shares outstanding must be positive.
A. WACC vs. Terminal Growth Rate
Output: DCF implied share price. Cells where terminal growth is at or above WACC are not meaningful (n/m).
WACC values (rows)
Terminal growth values (columns)
| WACC \ g | 1.5% | 2.0% | 2.5% | 3.0% | 3.5% |
|---|---|---|---|---|---|
| 8.0% | n/m | n/m | n/m | n/m | n/m |
| 8.5% | n/m | n/m | n/m | n/m | n/m |
| 9.0% | n/m | n/m | n/m | n/m | n/m |
| 9.5% | n/m | n/m | n/m | n/m | n/m |
| 10.0% | n/m | n/m | n/m | n/m | n/m |
B. Revenue Growth vs. EBITDA Margin
Output: DCF implied share price, holding WACC and terminal growth at base assumptions.
Revenue growth values (rows)
EBITDA margin values (columns)
| Growth \ Margin | 18.5% | 20.0% | 21.3% | 22.5% | 24.0% |
|---|---|---|---|---|---|
| 2.0% | n/m | n/m | n/m | n/m | n/m |
| 4.0% | n/m | n/m | n/m | n/m | n/m |
| 6.0% | n/m | n/m | n/m | n/m | n/m |
| 8.0% | n/m | n/m | n/m | n/m | n/m |
| 10.0% | n/m | n/m | n/m | n/m | n/m |
C. Entry Multiple vs. Exit Multiple
Output: LBO IRR over the assumed holding period.
Entry multiple values (rows)
Exit multiple values (columns)
| Entry \ Exit | 7.5x | 8.3x | 9.0x | 9.8x | 10.5x |
|---|---|---|---|---|---|
| 8.0x | 16.6% | 19.8% | 22.7% | 25.4% | 27.8% |
| 8.5x | 13.2% | 16.3% | 19.2% | 21.8% | 24.1% |
| 9.0x | 10.4% | 13.4% | 16.2% | 18.7% | 21.0% |
| 9.5x | 7.9% | 10.9% | 13.6% | 16.1% | 18.3% |
| 10.0x | 5.7% | 8.7% | 11.3% | 13.7% | 15.9% |
Projections and valuations shown here are estimates generated from user-defined assumptions. They are not guaranteed investment returns, not a forecast of actual results, and not investment advice. Historical data should be sourced from company filings or other reliable financial sources.