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Your Valuation
10 June 2008 |
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Valuation Details
| Member: | TheCrunchBlog |
| On: | 29 Sep 2008 |
| Views: | 186 |
| Comments: | 1 |
| Updated: | 3 hours ago |
| Ticker: | IBM |
| Market: | NYSE |
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.