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How does this work?

A valuation is an assessment of the value of one share in a company, it is not necessarily the same as the price listed in the sharemarket. You can use a variety of methods to value a company, Valuecruncher uses Discounted Cash Flow (DCF) analysis to help people create the valuations you see below.

Valuecruncher Valuation

Dollar121Point81
Arrow_up_green62.67% from latest share price

Your Valuation


Valuation Compared to price Member Created Views
$121.81 Arrow_up_green62.67% Valuecruncher 23 Nov 2008 0
$108.18 Arrow_up_green29.4% Derek 23 Oct 2008 8
$130.55 Arrow_up_green41.12% TheCrunchBlog 22 Oct 2008 246
$109.17 Arrow_up_green24.41% GordonGekko 14 Oct 2008 15
$128.25 Arrow_up_green7.39% TheCrunchBlog 29 Sep 2008 188
$133.50 Arrow_up_green14.63% GordonGekko 26 Sep 2008 20
$131.42 Arrow_up_green1.09% KiwiEMH 26 Jul 2008 31
$141.42 Arrow_up_green19.31% TheCrunchBlog 19 Jul 2008 485

Price History


Recent Comments


Recessionary outlook

Even with those assumptions (which are completely reasonable) - the valuation is still nearly 30% above the current share price.

By TheCrunchBlog, on the valuation by Derek, about 1 month ago


Recessionary outlook

Revised numbers downwards in 2009 and 2010

By Derek, on the valuation by Derek, about 1 month ago


Running The Numbers – IBM ($IBM) trading well below intrinsic value

This valuation is part of this blog post:

http://blog.valuecruncher.com/2008/10/running-the-numbers-ibm-ibm-trading-well-below-intrinsic-value/

Assumptions:

Revenue: Reuters aggregates 17 analysts covering $IBM and these analysts have mean estimates of 2008 and 2009 revenues of US$106.7 billion and US$111.7 billion respectively. For our analysis we have used US$105.0 billion in 2008, US$106.5 billion in 2009 and US$110.0 billion in 2010.

Profitability: We have used an EBITDA margin of 20% flat to 2010. Reuters has $IBM‘s EBITD margin at 20.26% last year.

Capital Expenditure: We have assumed capital expenditures of US$5.0 billion in 2008 and 2009 rising to US$5.5 million in 2010 and beyond.

Discount Rate: 10.5%.

Terminal Growth Rate: 3.0%.

Our analysis incorporates the cash and debt the $IBM balance sheet – Valuecruncher calculates a net debt number.

By TheCrunchBlog, on the valuation by TheCrunchBlog, about 1 month ago


Running The Numbers – IBM ($IBM) Is Cheap

This valuation is part of this blog post:

http://blog.valuecruncher.com/2008/09/running-the-numbers-ibm-is-cheap/

Our assumptions are revenues of US$105.0 billion in 2008 growing to US$115.0 billion in 2010. This growth is a compound annual growth rate (CAGR) of 5% for 2007-10 this compares to a 4% CAGR from 2005-7. We have used a flat EBITDA margin of 20% to 2010. We used a terminal growth rate of 3.0%. We used a terminal capital expenditure number of US$5.5 billion. We have used a WACC (discount rate) of 9.0%. All of these assumptions can be amended in the Valuecruncher on-line valuation model to adjust the valuation.

By TheCrunchBlog, on the valuation by TheCrunchBlog, about 1 month ago


IBM still looks cheap at US$130 a share

This valuation is part of this blog post:

http://blog.valuecruncher.com/2008/07/ibm-still-looks-cheap-at-us130-a-share/

IBM grew revenues from US$91.4 billion in 2006 to US$98.8 billion in 2007 – 8% year-on-year growth. Our assumptions of revenues for the next three years are US$109.0 billion in 2008 growing to US$121.0 billion in 2010 – a 7% compound annual growth rate. We have projected EBITDA margins to grow from 20.0% in 2008 to 21.0% in 2010. We have used a terminal growth rate of 3%. We used a terminal capital expenditure number of US$5.75 billion. We have utilised a WACC (discount rate) of 9%.

By TheCrunchBlog, on the valuation by TheCrunchBlog, 4 months ago