Date of valuation Feb-24

Company name Apple

Numbers from your base year below ( in
This year
Country of incorporation United States
Industry (US) Electronics (General)
Industry (Global) Electronics (General)
Most Recent 12 months
Revenues $ 385,706.00
Operating income or EBIT $ 118,658.00
Interest expense $ 3,933.00
Book value of equity $ 74,110.00
Book value of debt $ 108,040.00
Do you have R&D expenses to capitalize? Yes
Do you have operating lease commitments? No
Cash and Marketable Securities $ 180,248.00
Cross holdings and other non-operating assets $ 46,906.00
Minority interests $ -
Number of shares outstanding = 15718.00
Current stock price = $ 188.00
Effective tax rate = 14.80%
Marginal tax rate = 25.00%
The value drivers below:
Revenue growth rate for next year 7.50%
Operating Margin for next year 31.77%
Compounded annual revenue growth rate - years 2-5 = 7.50%
Target pre-tax operating margin = 36.00%
Year of convergence for margin 5.00
Sales to capital ratio (for years 1-5) 5.00
Sales to capital ratio (for years 6-10) 5.00
Market numbers
Riskfree rate 4.08%
Initial cost of capital = 8.64%
Other inputs
Do you have employee options outstanding? No
Number of options outstanding = 7.72
Average strike price = $1.29
Average maturity = 7.00
Standard deviation on stock price = 45.00%

Default assumptions.
In stable growth, I will assume that your firm will have a cost of capital similar to that of typical mature companies (
Do you want to override this assumption = Yes
If yes, enter the cost of capital after year 10 = 8.00%
I will assume that your firm will earn a return on capital equal to its cost of capital after year 10. I am assuming tha
Do you want to override this assumption = Yes
If yes, enter the return on capital you expect after year 10 15%
I will assume that your firm has no chance of failure over the foreseeable future.
Do you want to override this assumption = No
If yes, enter the probability of failure = 12%
What do you want to tie your proceeds in failure to? V
Enter the distress proceeds as percentage of book or fair value 50%
I assume that reinvestment in a year translates into growth in the next year, i.e., there is a one year lag between reinv
Do you want override this assumption = No
If yes, enter a different lag (0 = no lag to 3 = lag of 3 years) 1
I will assume that your effective tax rate will adjust to your marginal tax rate by your terminal year. If you override t
Do you want to override this assumption = No
I will assume that you have no losses carried forward from prior years ( NOL) coming into the valuation. If you have
Do you want to override this assumption = No
If yes, enter the NOL that you are carrying over into year 1 $731.40
I will asssume that today's risk free rate will prevail in perpetuity. If you override this assumption, I will change the r
Do you want to override this assumption = No
If yes, enter the riskfree rate after year 10 2.00%
I will assume that the growth rate in perpetuity will be equal to the risk free rate. This allows for both valuation cons
Do you want to override this assumption = No
If yes, enter the growth rate in perpetuity -5.00%
I have assumed that none of the cash is trapped (in foreign countries) and that there is no additional tax liability com
Do you want to override this assumption No
If yes, enter trapped cash (if taxes) or entire balance (if mistrust) $140,000.00
& Average tax rate of the foreign markets where the cash is trapped 15%
 Input cell Calculated cell

Important: Before you run this spreadsheet, go into preferences in Excel and check under Calculation options
There should be a check against the iteration box. If there is not, you will get circular reasoning errors.
from your base year below ( in consistent units)
Last year Updated in January 2024 with updated Industry averages and risk premiums

Last 10K Years since last 10K

$ 383,285.00 0.25
$ 114,301.00 0.25
$ 3,933.00
$ 62,146.00
$ 123,930.00
If you want to capitalize R&D, you have to input the numbers into the R&D worksheet.
If you lease or other contractual commitments that have not been converteed to debt already, say yes to this option a
$ 162,099.00
$ 39,053.00
$ -
Computed numbers: Here is what your company's numbers lo
If you are not working in US dollars, you should add the inflation differential to

Company
Revenue growth in the most recent year 2.55%
Growth Lever - Next year Pre-tax operating margin in the most rece 31.77%
Profitability Lever - Next year Sales to capital ratio in most recent year 6.38
Growth Lever - Long term Marginal sales to capital ratio = NA
Profitability Lever - Long term Return on invested capital in most recent 172.57%
Speed of convergence level Standard deviation in stock prices =
Efficency of Growth Lever (first 5 yeaCost of capital =
Efficency of Growth Lever (years 6-10)
Valuation Output Feedback (for you to use to fine tune your inputs, if
Revenues in year 10, based on your revenue growth =
Do not input. Go to cost of capital
sheet. Pre-tax Operating Income in year 10, based on your operatin
Return on invested capital in year 10, based on your sales/capi
Check the Diagnostics worksheet for more details.
that of typical mature companies (riskfree rate + 4.5%)
Mature companies generally see their risk levels approach the average
Though some sectors, even in stable growth, may have higher risk. If you change your risk free rate after year 10 (se
l after year 10. I am assuming that whatever competitive advantages you have today will fade over time.
Mature companies find it difficult to generate returns that exceed the cost of capital
But there are significant exceptions among companies with long-lasting competitive advantages.

Many young, growth companies fail, especially if they have trouble raising cash. Many distressed companies fail, be
Tough to estimate but a key input. Use the failure rate worksheet, if necessary.
B: Book value of capital, V= Estimated fair value for the company
This can be zero, if the assets will be worth nothing if the firm fails.
ere is a one year lag between reinvesting and generating growth from that reinvestment.

our terminal year. If you override this assumption, I will leave the tax rate at your effective tax rate.

ming into the valuation. If you have a money losing company, you may want to override tis.
Check the financial statements.
An NOL will shield your income from taxes, even after you start making money.
his assumption, I will change the riskfree rate after year 10.
If yes, you will be asked to enter a normal risk free rate and your growth in perpetuity will be adjusted accordingly.
Enter your estimate of what the riskfree rate (in your currency of choice) will be after year 10
his allows for both valuation consistency and prevents "impossible" growth rates.
This is an option to let you use a negative growth rate in perpetuity or to even liquidate the firm.
This can be negative, if you feel the company will decline (and disappear) after growth is done. If you let it exceed th
re is no additional tax liability coming due and that cash is a neutral asset.

Cash that is trapped in foreign markets (and subject to additoinal tax) or cash that is being discounted by the market
Additional tax rate due on trapped cash or discount being applied to cash balance because of mistrust.
nder Calculation options
easoning errors.

averages and risk premiums

ready, say yes to this option and do the conversion.

your company's numbers look like, relative to industry.

add the inflation differential to the industry averages.
Industry (US) Industry (Global Global Distribution Stats
Average Average 1st Quartile Median3rd Quartile
15.82% 5.84% -1.66% 6.21% 14.90%
9.48% 5.28% -6.28% 4.06% 10.02%
1.68 1.36 0.70 1.20 1.93

15.11% 6.44%
42.94% 32.53%
7.54% 10.95% 10.31% 10.77% 11.01%

fine tune your inputs, if

$ 751,219

$ 270,439
159.83%
risk free rate after year 10 (see cell B57 & 58), you should incorporate the change into your stable cost of capital estimate.

distressed companies fail, because they have trouble making debt payments.

will be adjusted accordingly.

is done. If you let it exceed the risk free rate, you are on your own in uncharted territory.

eing discounted by the market (because of management mistrust)

ause of mistrust.
st of capital estimate.
 Base year 1 2 3 4 5 6 7
Revenue growth rate 7.50% 7.50% 7.50% 7.50% 7.50% 6.82% 6.13%
Revenues $ 385,706.00 $ 414,633.95 $ 445,731.50 $ 479,161.36 $ 515,098.46 $ 553,730.84 $ 591,473.14 $ 627,742.27
EBIT (Operating) mar 31.77% 31.77% 33.46% 34.31% 35.15% 36.00% 36.00% 36.00%
EBIT (Operating inc $ 122,533.33 $ 131,723.33 $ 149,146.89 $ 164,387.96 $ 181,076.25 $ 199,343.10 $ 212,930.33 $ 225,987.22
Tax rate 14.80% 14.80% 14.80% 14.80% 14.80% 14.80% 16.84% 18.88%
EBIT(1-t) $ 104,398.40 $ 112,228.28 $ 127,073.15 $ 140,058.55 $ 154,276.97 $ 169,840.32 $ 177,072.86 $ 183,320.83
- Reinvestment $ 6,219.51 $ 6,685.97 $ 7,187.42 $ 7,726.48 $ 7,548.46 $ 7,253.83 $ 6,839.88
FCFF $ 106,008.77 $ 120,387.17 $ 132,871.13 $ 146,550.49 $ 162,291.87 $ 169,819.04 $ 176,480.95
NOL $ - $ - $ - $ - $ - $ - $ - $ -

Cost of capital 8.64% 8.64% 8.64% 8.64% 8.64% 8.52% 8.39%

Cumulated discount factor 0.9204 0.8472 0.7798 0.7177 0.6606 0.6088 0.5617
PV(FCFF) $ 97,573.65 $ 101,990.96 $ 103,610.27 $ 105,184.13 $ 107,213.74 $ 103,382.41 $ 99,124.55

Terminal cash flow $ 147,659.54

Terminal cost of capit 8.00%
Terminal value ###
PV(Terminal value) ###
PV (CF over next 10 $ 986,112.93
Sum of PV ###
Probability of failure 0.00%
Proceeds if firm fails $1,329,820.81
Value of operating as ###
- Debt $ 108,040.00
- Minority interests $ -
+ Cash $ 180,248.00
+ Non-operating asse $ 46,906.00
Value of equity ###
- Value of options $0.00
Value of equity in c ###
Number of shares 15,718.00
Estimated value /shar $ 176.79
Price $ 188.00
Price as % of value 106.34%

Implied variables
Sales to capital ratio 5.00 5.00 5.00 5.00 5.00 5.00 5.00
Invested capital $ 60,498 $ 66,717 $ 73,403 $ 80,591 $ 88,317 $ 95,866 $ 103,119 $ 109,959
ROIC 172.57% 185.51% 190.47% 190.81% 191.43% 192.31% 184.71% 177.78%
 8 9 10 Terminal year Check these revenues against
5.45% 4.76% 4.08% 4.08% a. Overall market size
$ 661,941.67 $ 693,476.57 $ 721,770.42 $ 751,218.65 b. Largest companies in this market
36.00% 36.00% 36.00% 36.00%
$ 238,299.00 $ 249,651.57 $ 259,837.35 $ 270,438.71 $ 147,905.38 This is is how much your operating income
grew over the ten-year period.
20.92% 22.96% 25.00% 25.00%
$ 188,446.85 $ 192,331.57 $ 194,878.01 $ 202,829.04
$ 6,306.98 $ 5,658.77 $ 5,889.65 $ 55,169.50 $ 122,486.44 This is how much capital you
invested over the ten year period.
$ 182,139.87 $ 186,672.80 $ 188,988.37 $ 147,659.54
$ - $ - $ - $ -

8.26% 8.13% 8.00% 8.00%

0.5188 0.4798 0.4443
$ 94,499.30 $ 89,569.99 $ 83,963.94
 After year 10
5.00 5.00 5.00
$ 116,266 $ 121,925 $ 127,815
171.38% 165.42% 159.83% 15.00%

Compare this return on capital in year 10 against

a. the industry average(column E of worksheet)
b. the return on capital after year 10
If it is too high (low), you may want to lower (raise) your sales to capital ratio
 Apple
The Greatest Cah Machine in History!
Apple remains a company centered on smartphones, and facing slower growth in that market, the company has be
business. That growth will continue, and its profitability will improve margins. Apple's cash balance will keept its co
median for the US market.

The Assumptions
Base year Next year Years 2-5 Years 6-10
Revenues (a) $385,706.00 7.5% 7.50% Changes to

Operating margin ( 31.77% 31.8% Moves to 36.00%

Tax rate 14.80% 14.80% Changes to

Sales to Capital (c ) 5.00 5.00 5.00

Return on capital 172.57% Marginal ROIC = 134.41%
Cost of capital (d) 8.64%
The Cash Flows
Revenues Operating Margin EBIT EBIT (1-t)
1 $414,633.95 31.77% $131,723.33 $112,228.28
2 $445,731.50 33.46% $149,146.89 $127,073.15
3 $479,161.36 34.31% $164,387.96 $140,058.55
4 $515,098.46 35.15% $181,076.25 $154,276.97
5 $553,730.84 36.00% $199,343.10 $169,840.32
6 $591,473.14 36.00% $212,930.33 $177,072.86
7 $627,742.27 36.00% $225,987.22 $183,320.83
8 $661,941.67 36.00% $238,299.00 $188,446.85
9 $693,476.57 36.00% $249,651.57 $192,331.57
10 $721,770.42 36.00% $259,837.35 $194,878.01
Terminal year $751,218.65 36.00% $270,438.71 $202,829.04
The Value
Terminal value $3,766,824.94
PV(Terminal value) $1,673,528.70
PV (CF over next 10 years) $986,112.93
Value of operating assets = $2,659,641.63
Adjustment for distress $0.00 Probability of failure =
- Debt & Minority Interests $108,040.00
+ Cash & Other Non-operating assets $227,154.00
Value of equity $2,778,755.63
- Value of equity options $0.00
Number of shares 15,718.00
Value per share $176.79 Stock was trading at =
 Feb-24
chine in History!
wth in that market, the company has been building up its services
ns. Apple's cash balance will keept its cost of captial at close to the Tell your story about the company. Keep it
focuses on the company's businesses and tie
it into the three key levers of value: cash
flows, growth and risk
ptions
After year 10 Link to story
4.08% Growth from services & other busi

High margins on smartphones &

electronics, supplemented by
36.00% service business profits.
Tie each assumption to the part of your story
25.00% Global/US marginal tax rate over t that relates to it.
Low capital intensity business
allows for growth with little
27.20% reinvestment.
15.00% Strong competitive edges
8.00% Cost of capital close to median c
lows
Reinvestment FCFF
$6,219.51 $106,008.77
$6,685.97 $120,387.17
These are the numbers that come from your
$7,187.42 $132,871.13 assumptions. The revenues over time reflect
$7,726.48 $146,550.49 your revenue growth, the operating margins
$7,548.46 $162,291.87 evolve towards your target margin and your
tax rate will change, if you have set it to. The
$7,253.83 $169,819.04 reinvestment is estimated using the sales to
$6,839.88 $176,480.95 capital ratio for the first 10 years and based
$6,306.98 $182,139.87 on a reinvestment rate in stable growth (g/
ROC).
$5,658.77 $186,672.80
$5,889.65 $188,988.37
$55,169.50 $147,659.54
ue

This is the output from your valuation. It

reflects your cash flows being discounted
Probability of failure = 0.00% back at the cost of capital to get to your
operating asset value, which then gets
adjusted for the likelihood that your firm will
not make it. We add cash and non-operating
assets, subtract out debt and minority
interests to get to value of equity.
 back at the cost of capital to get to your
operating asset value, which then gets
adjusted for the likelihood that your firm will
not make it. We add cash and non-operating
assets, subtract out debt and minority
interests to get to value of equity.

Stock was trading at = $188.00

You can modify this picture and bring in relevant details to back up your cost of capital and other deta

Apple

Base Year and Comparison Growth Story

Company Industry Growth from
Revenue Growth 2.55% 5.84% services & other
Revenue $385,706 businesses
Operating Margin 31.77% 5.28%
Operating Income $122,533
EBIT (1-t) $104,398

PV(Terminal value) ### 1 2 3

PV (CF over next 10 yea ### Revenue Gro 7.50% 7.50% 7.50%
Probability of failure = 0.00% Revenue ### ### ###
Value of operating asse ### Operating Ma 31.77% 33.46% 34.31%
- Debt $108,040 Operating In ### ### ###
- Minority interests $0 EBIT (1-t) ### ### ###
+ Cash $180,248 Reinvestment $ 6,220 $ 6,686 $ 7,187
+ Non-operating asset $46,906 FCFF ### ### ###
Value of equity ###
- Value of options $0
Value of equity in com ### Cost of Capita 8.64% 8.64% 8.64%
Number of shares ### Cumulated W 0.9204 0.8472 0.7798
Estimated value /share $176.79
Sales to Capit 5.00 5.00 5.00
Price per share $188.00 ROIC 185.51% 190.47% 190.81%
% Under or Over Value 6.34%

Risk Story Competitive Advantages

Cost of capital close to Strong competitive edges
median company
st of capital and other details that you think flesh out your company's valuation story.

Apple Feb-24

Profitability Story Growth Efficiency Story

High margins on Low capital intensity Terminal Value
smartphones & business allows for Growth Rate
electronics, growth with little Cost of capita
supplemented by reinvestment. Return on cap
service business Reinvestment
profits.

4 5 6 7 8 9 10 Terminal year
7.50% 7.50% 6.82% 6.13% 5.45% 4.76% 4.08% 4.08%
### ### ### ### ### ### $721,770 $ 751,219
35.15% 36.00% 36.00% 36.00% 36.00% 36.00% 36.00% 36.00%
### ### ### ### ### ### $259,837 $ 270,439
### ### ### ### ### ### $194,878 $ 202,829
$ 7,726 $ 7,548 $ 7,254 $ 6,840 $ 6,307 $ 5,659 $ 5,890 $ 55,169
### ### ### ### ### ### $188,988 $ 147,660
###

8.64% 8.64% 8.52% 8.39% 8.26% 8.13% 8.00%

0.7177 0.6606 0.6088 0.5617 0.5188 0.4798 0.4443

5.00 5.00 5.00 5.00 5.00 5.00 5.00

191.43% 192.31% 184.71% 177.78% 171.38% 165.42% 159.83% 15.00%

Competitive Advantages
Strong competitive edges
 Feb-24

Terminal Value
4.08%
8.00%
15.00%
27.20%

minal year
Step 1: Check revenue growth rate

Industry AverageMost Recent year

Annual Revenue Growth Rate 15.82% 2.55%

Step 2: Check dollar revenues

Most Recent year Next year
Revenues $ 385,706.00 $ 414,633.95

Step 3: Check your margins Most Recent year Next year

Operating Margin 31.77% 31.77%

Step 4: Check how much you are reinvesting

Most Recent year Next year
Sales to Capital 6.38 5.00

Reinvestment effect on cash flows

$ Value As % of value
PV of after-tax operating income for next 10 yearas $1,030,500.56 100.00%
Value effect of reinvestment for next 10 years $44,387.63 4.31%
PV of FCFF for next ten years $986,112.93 95.69%

Return on capital effects

Most recent year Marginal (1-10)
Return on capital 172.57% 134.41%

Step 5: Risk Metrics

Industry Average Compounded
Cost of capital 7.54% 8.45%

Failure Rate 0.00%

Step 6: Price versus Value

Your calculated value as a percent of current price 94.04%
 If calculated
If calculated
value is
Inputs value looks too
negative or
high
looks too low
Increase Decrease
Revenue growth rate (input cell B25, B27) revenue revenue growth
growth rate rate
Increase the Decrease the
Operating margin (B26, B28) target pre-tax target pre-tax
operating operating
margin the
Increase margin
Decrease the
sales/capital sales/capital
Sales to Capital (B30-B32)
ratio ratio
Increase If higher than
relative to your cost of
your cost of capital, lower
Return on capital in perpetuity (B48, B49)
capital towards your
 Your forecasts

Next year Years 2-5

7.50% 7.50%

Year 5 Year 10
$ 553,730.84 $ 721,770.42

Year 5 Year 10

36.00% 36.00%

Year 5 Year 10
5.00 5.00

ROC in year 10 Stable ROC

159.83% 15.00%

Year 1-5 Stable Growth

8.64% 8.00%
T
 Questions to ask
1. If you are forecasting a revenue growth rate > industry
average, is your company small?
2. If your forecasted revenue growth rate is very different
from your company's most recent year of growth, what is the
reason?

1. How big is the total market today?

2. How much revenues do the biggest companies in that market make today?
3. How much growth is there in the total market?
4. What type of market share are you forecasting for your company in year 10?

1. What are the margins of the industry that the company is in?
2. What are the unit economics of the business? (How much
does it cost you to make the extra unit that you sell?
3. What does the competition in this business look like?

1. is the growth that you are forecasting bounce-back growth or new growth?
2. How much excess capacity do you have to service near term growth?
3. Does investment efficiency in this business change as companies get bigger?

1. Is your reinvestment consitent with your revenue growth forecast?

2. Are you comfortable with your return on capital in year 10?

1. How does your cost of capital compare to the industry average?

2. What is happenign to your cost of capital over time? Why?
3. Is your failure rate consistent with your company's characteristics?
Note: This worksheet is the most finicky of all of the worksheets in this
spreadsheet. If you start to get errors, here is a quick fix. Go into cell B12
and replace the contents with a number (say 5), and then undo your
action. Options
Valuing The spreadsheet
or Warrants will fix itself magically.
Enter the current stock price = $ 188.00
Enter the strike price on the o $ 1.29
Enter the expiration of the opt 7.00
Enter the standard deviation in 45.00% (volatility)
Enter the annualized dividend y 0.00%
Enter the treasury bond rate = 4.08%
Enter the number of warrants ( 7.72
Enter the number of shares out 15,718.00

Do not input any numbers below this line

Dilution-adjusted Black-Scholes
Stock Price= $188.00 # Warrants issued=
Strike Price= 1.29 # Shares outstanding
Adjusted S = $188.00 T.Bond rate=
Adjusted K = 1.29 Variance=
Expiration (in years) = 7 Annualized dividend y
Div. Adj. interest rate

d1 = 5.0195
N (d1) = 1.0000

d2 = 3.8289
N (d2) = 0.9999

Value per option = $ 187.03

Value of all options outstandin $1,443.87
 worksheets in this
k fix. Go into cell B12
then undo your

7.72
15,718
4.08%
0.2025
0.00%
4.08%
 If you have negative operating income, this spreadsheet will offer you a D rating. Do n
use that rating as your cost of debt for a going concern. Insread give your company a
but going concern rating like BB and use that cost of debt.

Inputs for synthetic rating estimation

Please read the special cases worksheet (see below) before you use this spreadshee
Before you use this spreadsheet, make sure that the iteration box (under calculation
Enter the type o 2
Enter current Earnings before interest ### (Add back only long term interest expe
Enter current interest expenses = ### (Use only long term interest expense f
Enter long term risk free rate = 4.08%
Output
Interest coverage ratio 30.17
Estimated Bond RatingAaa/AAA Note: If you get REF! All over the place, set the
Estimated Company Def0.59% to No, and then reset it to Yes. It should work.
Estimated County Defaul 0.00%
Estimated Cost of Debt 4.67%

If you want to update the spreads listed below, please visit http://www.bondsonline.c
For large manufacturing firms De
If interest coverage ratio is Rating
> ≤ to Rating isSpread is AAA
-1E+05 0.2 D2/D 20.00% AA
0.2 0.65 C2/C 17.00% A
0.65 0.8 Ca2/CC 11.78% BBB
0.8 1.25 Caa/CCC 8.51% BB
1.25 1.5 B3/B- 5.24% B
1.5 1.75 B2/B 3.61% CCC/C
1.75 2 B1/B+ 3.14%
2 2.25 Ba2/BB 2.21%
2.25 2.5 Ba1/BB+ 1.74%
2.5 3 Baa2/BBB1.47%
3 4.25 A3/A- 1.21%
4.25 5.5 A2/A 1.07%
5.5 6.5 A1/A+ 0.92%
6.5 8.5 Aa2/AA 0.70%
8.50 100000Aaa/AAA 0.59%

For smaller and riskier firms

If interest coverage ratio is
greater than≤ to Rating is
Spread is
-1E+05 0.5 D2/D 20.00% Rating is
Spread is
0.5 0.8 C2/C 17.00% A1/A+ 0.92%
0.8 1.25 Ca2/CC 11.78% A2/A 1.07%
1.25 1.5 Caa/CCC 8.51% A3/A- 1.21%
1.5 2 B3/B- 5.24% Aa2/AA 0.70%
2 2.5 B2/B 3.61% Aaa/AAA 0.59%
2.5 3 B1/B+ 3.14% B1/B+ 3.14%
3 3.5 Ba2/BB 2.21% B2/B 3.61%
3.5 4 Ba1/BB+ 1.74% B3/B- 5.24%
4 4.5 Baa2/BBB1.47% Ba1/BB+ 1.74%
4.5 6 A3/A- 1.21% Ba2/BB 2.21%
6 7.5 A2/A 1.07% Baa2/BBB1.47%
7.5 9.5 A1/A+ 0.92% C2/C 17.00%
9.5 12.5 Aa2/AA 0.70% Ca2/CC 11.78%
12.5 100000Aaa/AAA 0.59% Caa/CCC 8.51%
D2/D 20.00%
ou a D rating. Do not
e your company a low,

e this spreadsheet.
nder calculation options in excel) is checked.

erm interest expense for financial firms)

nterest expense for financial firms)

he place, set the operating lease commitment question in cell F5

. It should work.

ww.bondsonline.com
Default Probabilities over time (1 - 10 year time horizons)
1 2 3 4 5 6 7 8 9 10
0.00% 0.03% 0.13% 0.24% 0.35% 0.45% 0.51% 0.59% 0.64% 0.70%
0.02% 0.06% 0.12% 0.21% 0.31% 0.42% 0.50% 0.58% 0.65% 0.72%
0.05% 0.14% 0.23% 0.35% 0.47% 0.62% 0.79% 0.93% 1.08% 1.24%
0.16% 0.45% 0.78% 1.17% 1.58% 1.98% 2.33% 2.67% 3.00% 3.32%
0.61% 1.92% 3.48% 5.05% 6.52% 7.85% 9.01% 10.04% 10.97% 11.78%
3.33% 7.71% 11.55% 14.58% 16.93% 18.83% 20.36% 21.60% 22.70% 23.74%
27.08% 36.64% 41.41% 44.10% 46.19% 47.09% 48.26% 49.05% 49.76% 50.38%
 R & D Converter
This spreadsheet converts R&D expenses from operating to capital expenses. It makes the appropriat
income, the book value of assets and the book value of equity.

Inputs
Over how many years do you want to amortiz 3 ! If in doubt, use the lookup table below
Enter the current year's R&D expense = ### The maximum allowed is ten years
Enter R& D expenses for past years: the number of years that you will need to enter will be determined
Do not input numbers in the first column (Year). It will get automatically updated based on the input a
YearR& D Expenses
-1 29915.00 ! Year -1 is the year prior to the current year
-2 26251.00 ! Year -2 is the two years prior to the current year
-3 21914.00
0
0
0
0
0
0
0

Output
Year R&D ExpenseUnamortized portionAmortization this year
Current 29902.00 1.00 29902.00
-1 29915.00 0.67 19943.33 ###
-2 26251.00 0.33 8750.33 ###
-3 21914.00 0.00 0.00 ###
0 0.00 0.00 0.00 $ -
0 0.00 0.00 0.00 $ -
0 0.00 0.00 0.00 $ -
0 0.00 0.00 0.00 $ -
0 0.00 0.00 0.00 $ -
0 0.00 0.00 0.00 $ -
0 0.00 0.00 0.00 $ -
Value of Research Asset = ### ###

Amortization of asset for cu ###

Adjustment to Operating I ### ! A positive number indicates an increase in operating income (ad
Tax Effect of R&D Expensing $969
 makes the appropriate adjustments to operating income, net

up table below

nter will be determined by the amortization period

d based on the input above.

operating income (add to reported EBIT)

 Operating Lease Converter
The yellow cells are input cells. Please enter them.
Inputs Until 2019, this worksheet had to be used for every fir
Operating lease expense in current year = $ 295.00 with operating lease commitments, since accountants
Operating Lease Commitments (From footnote to financials) treated operating lease expenses as operating expenses
Year Commitment! Year 1 is next year, …. 2019, IFRS and GAAP made the long-overdue change
treat leases as debt, and for firms that follow these
1 287.0
standards, the conversion that I am doing on this
2 235.0 spreadsheet is being done by accountants, with lease d
3 194.0 and operating income already adjusted. If that is the ca
4 151.0 and you showed the lease debt as part of debt in the in
5 98.0 page, please do not use this spreadsheet, since you wil
6 and beyond 605 double counting.

Output
Pre-tax Cost of Debt = 4.78% ! If you do not have a cost of debt, use the synthetic rating estimator

Number of years embedded in yr 6 e 3 ! I use the average lease expense over the first five years
to estimate the number of years of expenses in yr 6
Converting Operating Leases into debt
Year Commitment Present Value
1 $ 287.00 $ 273.91
2 $ 235.00 $ 214.05
3 $ 194.00 $ 168.64
4 $ 151.00 $ 125.27
5 $ 98.00 $ 77.60
6 and beyon $ 201.67 $ 436.64 ! Commitment beyond year 6 converted into an annuity for ten years
Debt Value of leases = $1,296.11

Restated Financials
Depreciation on Operating Lease Asset = $ 162.01 ! I use straight line depreciation
Adjustment to Operating Earnings = $132.99 ! Add this amount to pre-tax operating income
Adjustment to Total Debt outstanding = $1,296.11 ! Add this amount to debt
Adjustment to Depreciation = $162.01
heet had to be used for every firm
ommitments, since accountants
expenses as operating expenses. In
P made the long-overdue change to
d for firms that follow these
on that I am doing on this
one by accountants, with lease debt
already adjusted. If that is the case,
ase debt as part of debt in the input
e this spreadsheet, since you will be
You can use this spreadsheet to compute your cost of capital. You can either use the built-in data to compute key inputs (beta, equity risk premium, default
you can update the ERP numbers to reflect a more current mature market premuum (since the spreadsheet uses the start of the year numbers).

Estimation of Current Cost of Capital

There are four ways in whch you can estimate your cost of capital. In the first, you can
directly input a cost of captial. In the second, you can work through your company's
cost of capital inputs in detail, entering business, geogaphical mix and debt, and I will
help you estimate a cost of capital. In the third, you can look up the cost of capital for
the industry or industries your firm belongs to and in the fourth, you can use a
crosssectional distribution of costs of capital for companies at the start of the year to
make your estimate.

Which approach will you be using? Detailed

If direct input, enter cost of capital to 9.00%
use
Cost of capital based upon approach 8.64%
=
Approach 1: Detailed Cost of Capital
Inputs
Equity
Number of Shares outstanding = 15718.00
Current Market Price per share = $ 188.00

Approach for estimating beta Single Business(US)

If direct input, enter levered beta (or regressi 1.20
Unlevered beta = 0.88
Riskfree Rate = 4.08%
What approach do you want to use to input Operating regions
Direct input for ERP (if you choose "will inp 6.00%
Equity Risk Premium used in cost of equity 5.27%

Debt
Book Value of Straight Debt = $ 108,040.00
Interest Expense on Debt = $ 3,933.00
Average Maturity = 3
Approach for estimating pre-tax cost of debt Actual rating
If direct input, input the pre-tax cost of debt 4.000%
If actual rating, input the rating Aa2/AA
If synethetic rating, input the type of compan 2
Pre-tax Cost of Debt = 4.78%
Tax Rate = 25%

Book Value of Convertible Debt = 0

Interest Expense on Convertible = 0
Maturity of Convertible Bond = 0
Market Value of Convertible = 0
Debt value of operating leases = $ -

Preferred Stock
Number of Preferred Shares = 0
Current Market Price per Share= 70
Annual Dividend per Share = 5

Output
Estimating Market Value of Straight Debt = $104,672.96
Estimated Value of Straight Debt in Convertible = $ -
Value of Debt in Operating leases = $ -
Estimated Value of Equity in Convertible = $ -
Levered Beta for equity = 0.90

Equity Debt Preferred Stock Capital

Market Value $ 2,954,984.00 $ 104,673 $ - $3,059,657
Weight in Cost of Capital 96.58% 3.42% 0.00% 100.00%
Cost of Component 8.82% 3.59% 7.14% 8.64%

Approach 2: industry average cost of capital, adjusted for riskfre rate differences
Industry Multibusiness(US)
Cost of capital, adjusted for riskfree rate differenc 8.84%

Approach 3: Uae histogram of costs of capital of all publicly traded firms

Which grouping (US, Emerging Markets, Global) US
Which risk grouping does your company fall in? Median
Cost of capital based upon decile/group chosen 8.60%

Region First Decile First Quartile Median Third Quartile Ninth Decile
Emerging 6.45% 7.51% 8.82% 10.02% 11.85%
Europe 7.12% 8.26% 9.48% 10.95% 12.85%
Global 5.40% 6.53% 8.11% 9.07% 9.82%
Japan 6.68% 7.66% 8.82% 9.67% 10.91%
US 6.43% 7.75% 8.60% 8.84% 9.37%
These costs of capital are all in US dollars and reflect the US dollar riskfree rate at the start of the year. Once you make your
choice, though, I will adjust the rate by the difference in riskfree rates, effectively converting currency and bringing it up to date.
ts (beta, equity risk premium, default spread) or enter them directly. If you choose to use the built in ERP data,
art of the year numbers).

Operating Countries ERP calculator

Country Revenues ERP Weight Weighted ERP
United States 193636 4.50% 85.88% 3.86%
China 500 5.53% 0.22% 0.01% The last two rows in each of
0.00% 0.00% 0.00% tables is set aside for your
flexibility to enter some num
0.00% 0.00% 0.00% assume that you have a comp
0.00% 0.00% 0.00% down into three countries and
0.00% 0.00% 0.00% of the World". You can enter t
of these two rows and enter an
0.00% 0.00% 0.00% rest of the world. The easiest w
0.00% 0.00% 0.00% country equity risk premium
0.00% 0.00% 0.00% GDP for the three countries t
and compute the global wei
0.00% 0.00% 0.00% remaining countries. With the
0.00% 0.00% 0.00% use the last two rows to ente
country (usually the domestic
Rest of the World 31335 6.41% 13.90% 0.89%
out though the rest of the re
0.00% 0.00% region. You can look up the
Total 225471 100.00% 4.77% country ERP
Operating Regions ERP calculator
Region Revenues ERP Weight Weighted ERP
Africa 13.66% 0.00% 0.0000%
Asia 36154 6.18% 9.51% 0.5877%
Australia & New Zealand 4.50% 0.00% 0.0000%
Caribbean 18.65% 0.00% 0.0000%
Central and South America 10.26% 0.00% 0.0000%
Eastern Europe & Russia 9.56% 0.00% 0.0000%
Middle East 6.66% 0.00% 0.0000%
North America 162560 4.50% 42.75% 1.9240%
Western Europe 94294 5.79% 24.80% 1.4352%
14650 6.41% 3.85% 0.2470%
China 72559 5.63% 19.08% 1.0744%
Total 380217 100.00% 5.2683%

Multi Business (US Industry Averages)

Business Revenues EV/Sales Estimated ValueUnlevered Beta Cost of capital
Computers/Peripheral $ 195,010.00 5.5117 $1,074,842.58 1.1004 8.79%
Electronics (General) $ 43,000.00 2.1770 $ 93,611.51 0.8772 7.54%
Entertainment $ 15,000.00 3.0674 $ 46,011.41 0.8657 7.46%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00%
 0.0000 $ - 0.0000 0.00% The costt of capital is in US dolla
using the riskfree rate at the start o
0.0000 $ - 0.0000 0.00% year. It will be adjusted for the
0.0000 $ - 0.0000 0.00% difference in riskfree rates to mak
0.0000 $ - 0.0000 0.00% more current and to change curren
Company $ 253,010.00 $1,214,465.50 1.0743 8.64%

Multi Business (Global Industry Averages)

Business Revenues EV/Sales Estimated ValueUnlevered Beta Cost of capital
Electronics (General) $ 81,363.00 1.5902 $ 129,387.28 1.2783 10.95%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00%
0.0000 $ - 0.0000 0.00% The cost of capital is in US dolla
using the riskfree rate at the start o
0.0000 $ - 0.0000 0.00% year. It will be adjusted for the
0.0000 $ - 0.0000 0.00% difference in riskfree rates to mak
more current and to change curren
0.0000 $ - 0.0000 0.00%
Company $ 81,363.00 $ 129,387.28 1.2783 10.95%
 The last two rows in each of country/region risk premium
tables is set aside for your input to provide you with
flexibility to enter some numbers directly. For instance,
assume that you have a company that breaks its revenues
down into three countries and then puts the rest into "Rest
of the World". You can enter the "Rest of the World" in one
of these two rows and enter an equity risk premium for the
rest of the world. The easiest way to do that is to go into the
country equity risk premium worksheet and change the
GDP for the three countries that you have data for to zero
and compute the global weighted average ERP for the
remaining countries. With the regional worksheet, you can
use the last two rows to enter the data for an individual
country (usually the domestic country) that might be broken
out though the rest of the revenues are broken down by
region. You can look up the ERP for the country in the
country ERP worksheet.
The costt of capital is in US dollars,
using the riskfree rate at the start of the
year. It will be adjusted for the
difference in riskfree rates to make it
more current and to change currencies.

The cost of capital is in US dollars,

using the riskfree rate at the start of the
year. It will be adjusted for the
difference in riskfree rates to make it
more current and to change currencies.
Estimating the likelihood of failure
Approach 1: Using a corporate bond rating

Default Probabilities over time (1 - 10 year time horizons)

Rating 1 2 3 4 5 6 7 8 9
AAA 0.00% 0.03% 0.13% 0.24% 0.35% 0.45% 0.51% 0.59% 0.64%
AA 0.02% 0.06% 0.12% 0.21% 0.31% 0.42% 0.50% 0.58% 0.65%
A 0.05% 0.14% 0.23% 0.35% 0.47% 0.62% 0.79% 0.93% 1.08%
BBB 0.16% 0.45% 0.78% 1.17% 1.58% 1.98% 2.33% 2.67% 3.00%
BB 0.61% 1.92% 3.48% 5.05% 6.52% 7.85% 9.01% 10.04% 10.97%
B 3.33% 7.71% 11.55% 14.58% 16.93% 18.83% 20.36% 21.60% 22.70%
CCC/C 27.08% 36.64% 41.41% 44.10% 46.19% 47.09% 48.26% 49.05% 49.76%

Thus, if you use the 10-year likelihood of failure, the chance of failure for a BB rated firm is 11.78%.

Approach 2: Using corporate age (for young companies)

Agriculture Mining UtilitiesConstruction

ManufacturingRetailTransportation
Information
0 55.10% 67.70% 55.10% 75.30% 61.90% 61.00% 71.60% 74.50%
Failure Rate given age

1 37.40% 49.50% 39.10% 49.60% 44.70% 44.10% 48.50% 49.70%

2 29.90% 38.90% 28.60% 35.10% 34.30% 33.40% 35.20% 37.20%
3 21.20% 30.60% 22.10% 20.90% 24.10% 24.10% 23.90% 27.80%
4 16.30% 21.50% 18.00% 12.40% 16.00% 17.50% 16.60% 20.90%
5 12.50% 18.90% 11.60% 8.50% 11.30% 13.10% 12.70% 16.40%
6 9.20% 14.90% 10.70% 5.90% 8.20% 9.50% 9.30% 11.70%
7 6.70% 10.60% 6.70% 3.70% 5.70% 6.70% 6.50% 8.50%
8 4.60% 8.20% 5.40% 2.40% 3.40% 4.30% 4.00% 5.90%
9 1.60% 4.80% 2.70% 1.10% 1.90% 2.00% 2.10% 1.90%
10 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
Source; Bureau of Labor Statistics
Thus, if you are valuing a technology firm that is 6 years old, the chance of failure is 1

Factors to consider
1. The likelihood of failure decreases for larger firms.
2. The likelihood of failure decreases with access to capital, and is thus lower for pub
3. The likelihood of failure decreases as revenue growth increases, since hope for futu
4. The likelihood of failure decreases with better unit economics, higher gross margin
 10
0.70%
0.72%
1.24%
3.32%
11.78%
23.74%
50.38%

ed firm is 11.78%.

Survial Rate Data from Bureau of Labor Statistics (2022)

Health Care
All Sectors Agriculture Mining UtilitiesConstruction
ManufacturingRetail
57.50% 67.20% 1 82.30% 81.80% 84.00% 74.30% 82.80% 83.10%
38.90% 45.50% 2 74.80% 71.20% 73.50% 59.80% 72.40% 72.40%
29.70% 33.40% 3 66.10% 62.90% 67.00% 45.60% 62.20% 63.10%
24.90% 23.80% 4 61.20% 53.80% 62.90% 37.10% 54.10% 56.50%
18.80% 17.00% 5 57.40% 51.20% 56.50% 33.20% 49.40% 52.10%
13.40% 12.60% 6 54.10% 47.20% 55.60% 30.60% 46.30% 48.50%
12.30% 9.50% 7 51.60% 42.90% 51.60% 28.40% 43.80% 45.70%
10.40% 6.80% 8 49.50% 40.50% 50.30% 27.10% 41.50% 43.30%
5.90% 4.30% 9 46.50% 37.10% 47.60% 25.80% 40.00% 41.00%
3.00% 2.00% 10 44.90% 32.30% 44.90% 24.70% 38.10% 39.00%
0.00% 0.00%

hance of failure is 11.70%.

s thus lower for publicly traded firms or firms with multiple high profile VCs
s, since hope for future growth will sustain the firm.
higher gross margins on the additional units sold
eau of Labor Statistics (2022)
Transportation
Information
Health Care
All Sectors
76.90% 75.20% 81.40% 78.30%
63.60% 62.70% 72.20% 66.20%
52.30% 53.30% 67.40% 56.60%
45.00% 46.40% 61.30% 49.80%
41.10% 41.90% 55.90% 45.40%
37.70% 37.20% 54.80% 42.30%
34.90% 34.00% 52.90% 39.60%
32.40% 31.40% 48.40% 37.10%
30.50% 27.40% 45.50% 34.80%
28.40% 25.50% 42.50% 32.80%
Mature Market ERP + 4.50% Updated February 1, 2024
Changing this number will update all your country equity risk premiums.

Country Moody's rating

Adj. Default Spread
Equity Risk Premium
Country Risk Premium
Abu Dhabi Aa2 0.54% 5.22% 0.72%
Albania B1 4.90% 11.08% 6.58%
Algeria NR 4.90% 11.08% 6.58%
Andorra (Principality of) Baa2 2.07% 7.28% 2.78%
Angola B3 7.08% 14.01% 9.51%
Anguilla NR 10.54% 23.25% 18.75%
Antigua & Barbuda NR 10.54% 23.25% 18.75%
Argentina Ca 13.07% 22.05% 17.55%
Armenia Ba3 3.92% 9.76% 5.26%
Aruba Baa2 2.07% 7.28% 2.78%
Australia Aaa 0.00% 4.50% 0.00%
Austria Aa1 0.44% 5.08% 0.58%
Azerbaijan Ba1 2.73% 8.16% 3.66%
Bahamas B1 4.90% 11.08% 6.58%
Bahrain B2 5.99% 12.54% 8.04%
Bangladesh B1 4.90% 11.08% 6.58%
Barbados B3 7.08% 14.01% 9.51%
Belarus C 17.50% 27.99% 23.49%
Belgium Aa3 0.65% 5.38% 0.88%
Belize Caa2 9.81% 17.67% 13.17%
Benin B1 4.90% 11.08% 6.58%
Bermuda A2 0.92% 5.74% 1.24%
Bolivia Caa1 8.17% 15.47% 10.97%
Bosnia and Herzegovina B3 7.08% 14.01% 9.51%
Botswana A3 1.31% 6.25% 1.75%
Brazil Ba2 3.28% 8.90% 4.40%
British Virgin Islands Ba2 3.28% 8.90% 4.40%
Brunei NR 0.65% 5.38% 0.88%
Bulgaria Baa1 1.74% 6.84% 2.34%
Burkina Faso Caa1 8.17% 15.47% 10.97%
Cambodia B2 5.99% 12.54% 8.04%
Cameroon Caa1 8.17% 15.47% 10.97%
Canada Aaa 0.00% 4.50% 0.00%
Cape Verde B3 7.08% 14.01% 9.51%
Cayman Islands Aa3 0.65% 5.38% 0.88%
Channel Islands NR 0.96% 10.39% 5.89%
Chile A2 0.92% 5.74% 1.24%
China A1 0.77% 5.53% 1.03%
Colombia Baa2 2.07% 7.28% 2.78%
Congo (Democratic Republ B3 7.08% 14.01% 9.51%
Congo (Republic of) Caa2 9.81% 17.67% 13.17%
Cook Islands B1 4.90% 11.08% 6.58%
Costa Rica B1 4.90% 11.08% 6.58%
Croatia Baa2 2.07% 7.28% 2.78%
Cuba Ca 13.07% 22.05% 17.55%
Curaçao Baa2 2.07% 7.28% 2.78%
Cyprus Baa2 2.07% 7.28% 2.78%
Czech Republic Aa3 0.65% 5.38% 0.88%
Denmark Aaa 0.00% 4.50% 0.00%
Dominican Republic Ba3 3.92% 9.76% 5.26%
Ecuador Caa3 10.90% 19.13% 14.63%
Egypt Caa1 8.17% 15.47% 10.97%
El Salvador Caa3 10.90% 19.13% 14.63%
Estonia A1 0.77% 5.53% 1.03%
Ethiopia Caa2 9.81% 17.67% 13.17%
Falkland Islands NR 4.29% 14.86% 10.36%
Fiji B1 4.90% 11.08% 6.58%
Finland Aa1 0.44% 5.08% 0.58%
France Aa2 0.54% 5.22% 0.72%
French Guiana NR 4.29% 14.86% 10.36%
Gabon Caa1 8.17% 15.47% 10.97%
Gambia NR 4.90% 11.08% 6.58%
Georgia Ba2 3.28% 8.90% 4.40%
Germany Aaa 0.00% 4.50% 0.00%
Ghana Caa3 10.90% 19.13% 14.63%
Gibraltar NR 0.96% 10.39% 5.89%
Greece Ba1 2.73% 8.16% 3.66%
Greenland NR 0.00% 4.50% 0.00%
Guatemala Ba1 2.73% 8.16% 3.66%
Guernsey (States of) A1 0.77% 5.53% 1.03%
Guinea NR 9.81% 17.67% 13.17%
Guinea-Bissau NR 5.99% 12.54% 8.04%
Guyana NR 1.74% 6.84% 2.34%
Haiti NR 10.90% 19.13% 14.63%
Honduras B1 4.90% 11.08% 6.58%
Hong Kong Aa3 0.65% 5.38% 0.88%
Hungary Baa2 2.07% 7.28% 2.78%
Iceland A2 0.92% 5.74% 1.24%
India Baa3 2.39% 7.71% 3.21%
Indonesia Baa2 2.07% 7.28% 2.78%
Iran NR 7.08% 14.01% 9.51%
Iraq Caa1 8.17% 15.47% 10.97%
Ireland Aa3 0.65% 5.38% 0.88%
Isle of Man Aa3 0.65% 5.38% 0.88%
Israel A1 0.77% 5.53% 1.03%
Italy Baa3 2.39% 7.71% 3.21%
Ivory Coast Ba3 3.92% 9.76% 5.26%
Jamaica B1 4.90% 11.08% 6.58%
Japan A1 0.77% 5.53% 1.03%
Jersey (States of) Aa3 0.65% 5.38% 0.88%
Jordan B1 4.90% 11.08% 6.58%
Kazakhstan Baa2 2.07% 7.28% 2.78%
Kenya B3 7.08% 14.01% 9.51%
Korea, D.P.R. NR 17.50% 27.99% 23.49%
Kuwait A1 0.77% 5.53% 1.03%
Kyrgyzstan B3 7.08% 14.01% 9.51%
Laos Caa3 10.90% 19.13% 14.63%
Latvia A3 1.31% 6.25% 1.75%
Lebanon C 17.50% 27.99% 23.49%
Liberia NR 13.07% 22.05% 17.55%
Libya NR 2.07% 7.28% 2.78%
Liechtenstein Aaa 0.00% 4.50% 0.00%
Lithuania A2 0.92% 5.74% 1.24%
Luxembourg Aaa 0.00% 4.50% 0.00%
Macau Aa3 0.65% 5.38% 0.88%
Macedonia Ba3 3.92% 9.76% 5.26%
Madagascar NR 7.08% 14.01% 9.51%
Malawi NR 13.07% 22.05% 17.55%
Malaysia A3 1.31% 6.25% 1.75%
Maldives Caa1 8.17% 15.47% 10.97%
Mali Caa2 9.81% 17.67% 13.17%
Malta A2 0.92% 5.74% 1.24%
Martinique NR 0.00% 4.50% 0.00%
Mauritius Baa3 2.39% 7.71% 3.21%
Mexico Baa2 2.07% 7.28% 2.78%
Monaco NR 0.96% 10.39% 5.89%
Moldova B3 7.08% 14.01% 9.51%
Mongolia B3 7.08% 14.01% 9.51%
Montenegro B1 4.90% 11.08% 6.58%
Montserrat Baa3 2.39% 7.71% 3.21%
Morocco Ba1 2.73% 8.16% 3.66%
Mozambique Caa2 9.81% 17.67% 13.17%
Myanmar NR 10.90% 19.13% 14.63%
Namibia B1 4.90% 11.08% 6.58%
Netherlands Aaa 0.00% 4.50% 0.00%
Netherlands Antilles NR 10.54% 23.25% 18.75%
New Zealand Aaa 0.00% 4.50% 0.00%
Nicaragua B3 7.08% 14.01% 9.51%
Niger Caa2 9.81% 17.67% 13.17%
Nigeria Caa1 8.17% 15.47% 10.97%
Norway Aaa 0.00% 4.50% 0.00%
Oman Ba1 2.73% 8.16% 3.66%
Pakistan Caa3 10.90% 19.13% 14.63%
Palestinian Authority NR 1.61% 11.26% 6.76%
Panama Baa2 2.07% 7.28% 2.78%
Papua New Guinea B2 5.99% 12.54% 8.04%
Paraguay Ba1 2.73% 8.16% 3.66%
Peru Baa1 1.74% 6.84% 2.34%
Philippines Baa2 2.07% 7.28% 2.78%
Poland A2 0.92% 5.74% 1.24%
Portugal A3 1.31% 6.25% 1.75%
Qatar Aa3 0.65% 5.38% 0.88%
Ras Al Khaimah (Emirate A3 1.31% 6.25% 1.75%
Reunion NR 1.25% 10.78% 6.28%
Romania Baa3 2.39% 7.71% 3.21%
Russia NR 4.90% 11.08% 6.58%
Rwanda B2 5.99% 12.54% 8.04%
Saint Lucia NR 10.54% 23.25% 18.75%
Saudi Arabia A1 0.77% 5.53% 1.03%
Senegal Ba3 3.92% 9.76% 5.26%
Serbia Ba2 3.28% 8.90% 4.40%
Sharjah Ba1 2.73% 8.16% 3.66%
Sierra Leone NR 10.90% 19.13% 14.63%
Singapore Aaa 0.00% 4.50% 0.00%
Slovakia A2 0.92% 5.74% 1.24%
Slovenia A3 1.31% 6.25% 1.75%
Solomon Islands Caa1 8.17% 15.47% 10.97%
Somalia NR 13.07% 22.05% 17.55%
South Africa Ba2 3.28% 8.90% 4.40%
South Korea Aa2 0.54% 5.22% 0.72%
Spain Baa1 1.74% 6.84% 2.34%
Sri Lanka Ca 13.07% 22.05% 17.55%
St. Maarten Ba2 3.28% 8.90% 4.40%
St. Vincent & the Grenadi B3 7.08% 14.01% 9.51%
Sudan NR 17.50% 27.99% 23.49%
Suriname Caa3 10.90% 19.13% 14.63%
Swaziland B3 7.08% 14.01% 9.51%
Sweden Aaa 0.00% 4.50% 0.00%
Switzerland Aaa 0.00% 4.50% 0.00%
Syria NR 17.50% 27.99% 23.49%
Taiwan Aa3 0.65% 5.38% 0.88%
Tajikistan B3 7.08% 14.01% 9.51%
Tanzania B2 5.99% 12.54% 8.04%
Thailand Baa1 1.74% 6.84% 2.34%
Togo B3 7.08% 14.01% 9.51%
Trinidad &' Tobago Ba2 3.28% 8.90% 4.40%
Tunisia Caa2 9.81% 17.67% 13.17%
Turkey B3 7.08% 14.01% 9.51%
Turks & Caicos Islands Baa1 1.74% 6.84% 2.34%
Uganda B2 5.99% 12.54% 8.04%
Ukraine Ca 13.07% 22.05% 17.55%
United Arab Emirates Aa2 0.54% 5.22% 0.72%
United Kingdom Aa3 0.65% 5.38% 0.88%
United States Aaa 0.00% 4.50% 0.00%
Uruguay Baa2 2.07% 7.28% 2.78%
Uzbekistan Ba3 3.92% 9.76% 5.26%
Venezuela C 17.50% 27.99% 23.49%
Vietnam Ba2 3.28% 8.90% 4.40%
Yemen NR 10.90% 19.13% 14.63%
Zambia Caa3 10.90% 19.13% 14.63%
Zimbabwe NR 9.81% 17.67% 13.17%

Region ERP Default Spread Tax Rate CRP

Africa 13.66% 6.83% 27.30% 9.16%
Asia 6.18% 1.25% 25.76% 1.68%
Australia & New Zealand 4.50% 0.00% 29.74% 0.00%
Caribbean 18.65% 10.54% 27.25% 14.15%
Central and South America 10.26% 4.29% 31.60% 5.76%
Eastern Europe & Russia 9.56% 3.77% 18.49% 5.06%
Middle East 6.66% 1.61% 18.76% 2.16%
North America 4.50% 0.00% 25.12% 0.00%
Western Europe 5.79% 0.96% 24.71% 1.29%
Global 6.31% 1.35% 25.23% 1.81%
Corporate Tax Rate
15.00%
15.00%
26.00%
18.98%
25.00%
27.25%
27.25%
35.00%
18.00%
25.00%
30.00%
24.00%
20.00%
0.00%
0.00%
30.00%
5.50%
18.00%
25.00%
28.53%
30.00%
0.00%
25.00%
10.00%
22.00%
34.00%
34.00%
18.50%
10.00%
28.00%
20.00%
33.00%
26.50%
0.00%
0.00%
24.71%
27.00%
25.00%
35.00%
30.00%
28.00%
29.74%
30.00%
18.00%
28.53%
22.00%
12.50%
19.00%
22.00%
27.00%
25.00%
22.50%
30.00%
20.00%
30.00%
31.60%
20.00%
20.00%
25.00%
31.60%
30.00%
31.00%
15.00%
30.00%
25.00%
24.71%
22.00%
0.00%
25.00%
0.00%
29.15%
29.15%
18.64%
18.64%
25.00%
16.50%
9.00%
20.00%
30.00%
22.00%
20.23%
15.00%
12.50%
0.00%
23.00%
24.00%
25.00%
25.00%
30.62%
0.00%
20.00%
20.00%
30.00%
23.10%
15.00%
10.00%
26.86%
20.00%
17.00%
29.15%
20.00%
12.50%
15.00%
24.94%
26.86%
10.00%
20.00%
30.00%
24.00%
26.86%
26.86%
35.00%
0.00%
15.00%
30.00%
24.71%
12.00%
25.00%
15.00%
28.53%
32.00%
32.00%
25.00%
32.00%
25.80%
27.25%
28.00%
30.00%
26.86%
30.00%
22.00%
15.00%
29.00%
18.76%
25.00%
30.00%
10.00%
29.50%
25.00%
19.00%
21.00%
10.00%
0.00%
25.76%
16.00%
25.00%
30.00%
27.25%
20.00%
30.00%
15.00%
0.00%
30.00%
17.00%
21.00%
19.00%
30.00%
29.15%
27.00%
25.00%
25.00%
24.00%
28.53%
28.53%
35.00%
36.00%
27.50%
20.60%
14.60%
28.00%
20.00%
18.00%
30.00%
20.00%
26.86%
30.00%
15.00%
25.00%
0.00%
30.00%
18.00%
25.00%
25.00%
25.00%
25.00%
15.00%
34.00%
20.00%
20.00%
35.00%
25.00%
 Annual
Average
Revenue Pre-tax
growth - Operating Average
Number of Last 5 Margin effective tax Unlevered
Industry Name firms years (Unadjusted) After-tax ROC rate Beta Equity (Levered) Beta
Advertising 57 11.57% 9.61% 31.52% 20.55% 1.18 1.37
Aerospace/Defense 70 7.59% 8.54% 16.17% 15.45% 0.93 1.08
Air Transport 25 2.90% 6.90% 10.92% 23.53% 0.64 1.27
Apparel 38 5.72% 8.76% 15.29% 32.17% 0.93 1.19
Auto & Truck 34 21.94% 4.82% 5.19% 13.21% 1.30 1.52
Auto Parts 39 6.28% 5.31% 10.16% 27.95% 1.12 1.34
Bank (Money Center 15 7.28% 0.00% 0.02% 15.86% 0.64 1.06
Banks (Regional) 625 9.22% 0.00% -0.05% 20.72% 0.33 0.46
Beverage (Alcoholic) 19 12.06% 20.63% 16.67% 25.60% 0.97 1.13
Beverage (Soft) 29 28.58% 19.30% 30.65% 18.73% 0.70 0.76
Broadcasting 22 5.48% 11.78% 12.06% 26.27% 0.50 1.06
Brokerage & Investm 27 12.79% 0.77% 0.13% 21.05% 0.55 1.12
Building Materials 44 6.41% 13.55% 25.27% 24.75% 1.21 1.32
Business & Consume 162 6.69% 11.10% 27.45% 24.24% 0.93 1.02
Cable TV 10 16.23% 19.47% 11.31% 25.56% 0.74 1.28
Chemical (Basic) 32 11.32% 7.88% 11.81% 23.97% 0.87 1.10
Chemical (Diversified 4 -0.76% 1.52% 1.57% 44.29% 0.81 1.13
Chemical (Specialty) 68 7.33% 13.09% 13.51% 18.27% 0.94 1.09
Coal & Related Ener 18 5.56% 20.51% 29.50% 13.13% 1.24 1.27
Computer Services 72 10.93% 6.98% 24.17% 18.86% 0.86 1.00
Computers/Periphera 36 2.31% 21.06% 37.80% 14.61% 1.10 1.13
Construction Supplie 11 9.32% 19.04% 16.92% 20.59% 0.85 0.94
Diversified 23 6.94% 22.93% 20.40% 17.65% 1.09 1.19
Drugs (Biotechnolog 572 18.95% 1.08% 1.56% 16.41% 1.09 1.12
Drugs (Pharmaceutic 245 41.54% 18.16% 13.38% 14.92% 0.94 1.03
Education 31 4.12% 5.82% 5.93% 32.16% 1.15 1.23
Electrical Equipment 103 14.91% 9.00% 13.27% 21.67% 1.15 1.24
Electronics (Consume 13 -6.32% -0.08% 0.95% 69.44% 1.30 1.30
Electronics (General 129 15.82% 9.48% 15.11% 22.61% 0.88 0.93
Engineering/Construc 77 6.55% 10.36% 18.53% 23.69% 0.92 1.06
Entertainment 98 15.47% 7.01% 7.56% 20.00% 0.87 0.99
Environmental & Was 57 13.38% 13.55% 29.94% 24.03% 0.79 0.91
Farming/Agriculture 42 21.38% 10.18% 17.93% 20.91% 0.77 0.99
Financial Svcs. (Non 192 19.12% 15.99% 0.96% 19.00% 0.33 1.14
Food Processing 93 6.45% 10.49% 16.63% 22.34% 0.57 0.71
Food Wholesalers 14 18.65% 2.23% 14.96% 24.40% 0.74 0.97
Furn/Home Furnishi 31 3.13% 5.86% 10.31% 34.49% 0.86 1.11
Green & Renewable 17 3.74% 23.44% 4.15% 7.06% 0.56 1.11
Healthcare Products 230 17.95% 13.29% 13.08% 20.58% 1.01 1.06
Healthcare Support 119 12.42% 3.92% 45.74% 22.53% 0.94 1.03
Heathcare Informati 128 19.67% 14.01% 14.28% 11.69% 1.19 1.27
Homebuilding 32 11.04% 16.24% 20.91% 23.44% 1.35 1.37
Hospitals/Healthcare 32 18.11% 11.57% 20.16% 20.30% 0.56 0.88
Hotel/Gaming 68 10.24% 17.14% 9.99% 19.27% 1.05 1.34
Household Products 19 1.30% 18.74% 34.64% 21.28% 0.72 0.78
Information Services 18 4.72% 11.63% 22.74% 25.78% 0.77 0.93
Insurance (General) 21 7.76% 15.23% 15.65% 20.67% 0.89 1.03
Insurance (Life) 23 -0.06% 0.07% 0.11% 17.73% 0.54 0.77
Insurance (Prop/Cas. 50 6.17% 7.41% 11.12% 18.94% 0.68 0.74
Investments & Asse 334 4.60% 15.00% 6.16% 18.98% 0.39 0.46
Machinery 103 4.71% 14.78% 24.91% 21.72% 0.94 1.03
Metals & Mining 68 -1.31% 19.62% 24.03% 35.29% 0.91 0.96
Office Equipment & 17 15.85% 7.29% 12.93% 44.32% 0.88 1.14
Oil/Gas (Integrated) 4 1.76% 15.60% 17.04% 29.51% 0.64 0.67
Oil/Gas (Production 166 23.28% 37.27% 28.41% 20.34% 0.82 0.93
Oil/Gas Distribution 24 27.45% 37.95% 20.60% 18.24% 0.53 0.79
Oilfield Svcs/Equip. 100 7.74% 8.72% 28.02% 21.84% 0.85 0.98
Packaging & Contain 11 4.63% 10.14% 14.47% 21.44% 0.59 0.87
Paper/Forest Produc 7 3.84% 9.96% 18.90% 30.91% 1.59 1.94
Power 50 5.33% 16.29% 5.78% 16.14% 0.39 0.65
Precious Metals 61 11.64% 9.48% 4.69% 22.88% 0.83 0.87
Publishing & Newspa 13 1.89% 7.59% 11.74% 33.50% 0.81 0.92
R.E.I.T. 181 7.95% 22.31% 2.60% 3.42% 0.65 1.02
Real Estate (Develo 17 55.56% 12.61% 2.93% 24.26% 0.43 0.67
Real Estate (General/ 11 9.08% 16.13% 5.31% 17.40% 0.51 0.56
Real Estate (Operati 60 5.44% -0.28% 0.07% 18.04% 0.88 1.08
Recreation 55 10.95% 9.66% 9.54% 27.91% 0.85 1.17
Reinsurance 1 6.95% 9.66% 30.12% 22.95% 0.61 0.66
Restaurant/Dining 64 6.80% 15.80% 19.56% 19.97% 1.02 1.19
Retail (Automotive) 30 17.50% 6.18% 13.20% 23.75% 1.06 1.49
Retail (Building Supp 16 8.91% 12.51% 39.43% 24.04% 1.70 1.94
Retail (Distributors) 62 5.81% 11.95% 18.61% 23.45% 0.91 1.11
Retail (General) 26 18.06% 4.41% 9.89% 21.72% 1.17 1.25
Retail (Grocery and 14 6.59% 2.42% 10.99% 22.91% 0.36 0.49
Retail (REITs) 28 4.11% 36.75% 4.46% 4.20% 0.79 1.12
Retail (Special Lines 105 12.07% 4.62% 13.50% 24.71% 0.97 1.18
Rubber& Tires 3 9.02% 1.84% 3.12% #DIV/0! 0.26 0.67
Semiconductor 63 6.44% 19.71% 11.37% 9.31% 1.46 1.50
Semiconductor Equi 30 9.93% 24.19% 25.68% 12.27% 1.51 1.53
Shipbuilding & Marin 8 -0.68% 10.65% 9.24% 18.85% 0.69 0.81
Shoe 13 11.49% 12.20% 24.04% 17.46% 1.27 1.29
Software (Entertainm 84 17.41% 26.80% 19.94% 16.57% 1.11 1.11
Software (Internet) 35 22.24% -3.36% -0.48% 17.88% 1.51 1.62
Software (System & A 351 15.90% 25.30% 23.22% 17.85% 1.27 1.29
Steel 29 7.87% 12.10% 22.18% 19.96% 1.08 1.13
Telecom (Wireless) 13 9.30% 16.79% 6.55% 24.65% 0.75 1.09
Telecom. Equipment 66 9.62% 19.58% 28.18% 16.91% 1.05 1.08
Telecom. Services 42 13.17% 20.86% 11.80% 21.77% 0.41 0.78
Tobacco 16 34.97% 40.82% 80.36% 21.14% 0.99 1.22
Transportation 110 7.39% 8.51% 16.09% 22.12% 0.84 1.00
Transportation (Rail 4 2.49% 35.11% 14.26% 22.98% 0.86 1.02
Trucking 22 6.19% 8.49% 12.75% 25.56% 1.03 1.15
Utility (General) 14 4.34% 21.81% 6.47% 16.02% 0.36 0.58
Utility (Water) 13 10.85% 30.79% 6.80% 14.92% 0.52 0.71
 Std Market
Cost of deviation in Pre-tax cost Debt/Capita Cost of Sales/
equity stock prices of debt l capital Capital EV/Sales EV/EBITDA EV/EBIT Price/Book
10.19% 56.41% 5.35% 25.24% 8.63% 3.28 2.26 12.94 22.24 5.76
8.83% 36.40% 5.09% 20.29% 7.81% 1.98 2.48 18.49 28.31 5.08
9.71% 44.65% 5.09% 61.85% 6.06% 1.78 0.91 6.17 13.02 2.24
9.38% 37.04% 5.09% 32.78% 7.55% 1.77 1.20 7.92 12.39 2.56
10.88% 59.70% 5.35% 23.68% 9.26% 1.05 2.49 21.65 49.58 4.60
10.06% 37.07% 5.09% 27.77% 8.33% 2.00 0.82 7.06 14.12 2.00
8.76% 22.51% 4.50% 68.37% 5.08% 0.27 5.27 NA NA 1.05
6.00% 18.68% 4.50% 50.48% 4.68% 0.37 4.47 NA NA 1.02
9.09% 49.70% 5.09% 19.66% 8.05% 0.90 3.89 14.84 18.68 3.10
7.40% 42.96% 5.09% 14.62% 6.87% 1.69 4.16 18.07 21.47 7.42
8.76% 38.46% 5.09% 63.82% 5.60% 1.12 1.25 7.31 10.67 0.80
9.03% 25.21% 5.09% 69.33% 5.41% 0.28 5.61 NA NA 1.66
9.94% 28.72% 5.09% 15.36% 9.00% 2.29 2.11 12.01 15.39 4.74
8.58% 41.29% 5.09% 15.21% 7.86% 2.72 2.68 16.12 23.49 5.54
9.75% 33.01% 5.09% 50.43% 6.76% 0.78 2.55 7.80 13.35 2.06
8.92% 38.92% 5.09% 31.35% 7.32% 1.62 1.15 8.10 14.06 1.98
9.09% 37.24% 5.09% 41.01% 6.93% 1.28 1.16 15.40 73.62 1.97
8.88% 36.60% 5.09% 21.15% 7.81% 1.16 2.68 12.85 20.00 2.67
9.73% 55.69% 5.35% 18.40% 8.67% 1.47 1.33 2.75 4.04 1.79
8.47% 49.61% 5.09% 22.57% 7.42% 3.59 1.37 12.61 18.86 4.37
9.09% 38.90% 5.09% 5.74% 8.79% 1.92 5.51 21.83 25.97 30.98
8.19% 30.30% 5.09% 13.98% 7.58% 1.05 4.10 14.94 21.87 3.77
9.38% 52.25% 5.35% 16.07% 8.51% 0.93 2.43 8.93 10.51 1.87
9.05% 61.98% 5.35% 14.08% 8.34% 0.41 6.89 13.52 NA 6.14
8.60% 65.30% 6.09% 13.83% 8.05% 0.64 5.08 16.62 27.43 5.20
9.52% 43.78% 5.09% 16.38% 8.58% 1.29 2.30 10.80 31.74 2.72
9.59% 54.42% 5.35% 17.62% 8.61% 1.47 2.98 14.65 28.89 2.92
9.84% 39.42% 5.09% 15.49% 8.90% 1.67 0.85 19.14 NA 1.90
8.18% 42.94% 5.09% 14.67% 7.54% 1.68 2.18 13.59 22.11 3.28
8.75% 36.59% 5.09% 21.10% 7.71% 2.04 1.57 11.04 14.82 3.75
8.45% 61.19% 5.35% 22.33% 7.46% 1.11 3.07 16.37 42.53 2.59
8.05% 46.07% 5.09% 18.00% 7.29% 2.29 3.38 15.00 24.26 6.25
8.44% 54.14% 5.35% 31.18% 7.06% 1.83 1.11 8.97 10.56 2.73
9.12% 38.10% 5.09% 77.42% 5.01% 0.07 18.64 57.68 77.49 3.38
7.13% 35.52% 5.09% 26.89% 6.24% 1.71 1.73 11.44 16.12 2.30
8.32% 27.30% 5.09% 30.86% 6.93% 8.02 0.40 11.26 18.05 4.10
8.97% 46.65% 5.09% 32.23% 7.31% 1.96 1.05 9.37 16.70 2.25
8.97% 57.34% 5.35% 58.58% 6.07% 0.20 7.47 12.63 33.58 0.85
8.77% 52.21% 5.35% 11.24% 8.23% 0.99 5.16 21.51 36.99 4.63
8.63% 49.53% 5.09% 21.18% 7.61% 12.88 0.61 11.29 15.46 3.34
9.74% 54.15% 5.35% 13.85% 8.95% 1.04 5.29 21.44 36.53 4.09
10.18% 32.31% 5.09% 14.10% 9.28% 1.55 1.32 7.79 8.11 2.00
7.93% 46.33% 5.09% 44.37% 6.10% 1.87 1.56 8.75 13.41 5.12
10.06% 40.80% 5.09% 32.74% 8.02% 0.81 4.23 14.98 30.73 11.06
7.47% 30.17% 5.09% 12.89% 7.00% 2.09 3.59 15.88 19.03 8.18
8.16% 33.83% 5.09% 26.29% 7.02% 2.19 2.33 12.15 19.06 4.06
8.63% 40.38% 5.09% 20.59% 7.64% 1.19 2.66 11.48 17.34 2.86
7.40% 30.85% 5.09% 47.98% 5.68% 0.94 1.57 17.24 NA 1.62
7.28% 27.40% 5.09% 16.24% 6.72% 1.69 1.36 11.77 15.66 2.30
5.98% 15.15% 4.50% 28.74% 5.23% 0.47 5.42 34.85 34.90 2.00
8.60% 33.44% 5.09% 14.43% 7.91% 1.87 3.07 15.46 20.31 4.34
8.31% 60.56% 5.35% 13.66% 7.72% 1.25 2.94 10.36 14.87 3.22
9.12% 30.28% 5.09% 34.46% 7.29% 2.07 1.17 9.34 15.61 2.54
6.96% 26.44% 5.09% 11.11% 6.61% 1.37 1.35 6.24 8.54 1.82
8.16% 46.31% 5.09% 18.88% 7.34% 0.80 2.65 4.67 6.98 1.94
7.52% 32.55% 5.09% 41.25% 5.99% 0.59 3.58 7.31 9.29 2.32
8.39% 43.73% 5.09% 24.32% 7.27% 3.55 0.63 5.42 7.08 1.98
7.87% 22.80% 4.50% 41.68% 6.00% 1.81 1.49 9.28 14.55 2.96
12.80% 43.04% 5.09% 27.20% 10.35% 2.14 1.04 7.06 10.31 2.42
6.87% 20.39% 4.50% 48.17% 5.19% 0.41 3.72 11.69 22.34 1.71
7.88% 63.61% 5.35% 13.20% 7.37% 0.51 3.96 13.01 40.06 2.04
8.10% 31.02% 5.09% 22.32% 7.15% 1.81 1.62 11.87 22.46 2.03
8.59% 23.59% 4.50% 44.37% 6.28% 0.14 11.74 21.91 53.48 1.98
6.96% 34.24% 5.09% 48.48% 5.43% 0.27 4.38 17.93 36.27 1.35
6.47% 35.91% 5.09% 24.17% 5.83% 0.37 4.78 18.01 28.44 1.25
8.85% 44.19% 5.09% 30.83% 7.30% 1.45 1.51 14.98 NA 2.87
9.27% 44.30% 5.09% 36.94% 7.25% 1.28 1.84 9.99 21.72 3.46
6.89% 17.09% 4.50% 29.84% 5.84% 4.05 0.69 7.28 7.14 1.31
9.38% 35.37% 5.09% 20.46% 8.24% 1.62 4.19 16.60 29.33 NA
10.75% 46.79% 5.09% 36.51% 8.22% 2.67 1.05 11.63 17.42 6.97
12.80% 45.21% 5.09% 16.61% 11.30% 3.64 2.17 13.33 17.19 NA
8.97% 37.74% 5.09% 24.41% 7.71% 1.82 1.81 11.63 13.82 4.03
9.61% 38.28% 5.09% 11.84% 8.93% 2.41 1.57 16.63 38.47 7.24
6.15% 25.65% 5.09% 35.83% 5.31% 4.76 0.41 6.38 19.80 2.90
9.04% 20.72% 4.50% 37.04% 6.94% 0.13 12.15 17.43 34.71 1.94
9.31% 44.01% 5.09% 26.55% 7.85% 3.11 0.98 9.34 20.32 4.78
6.98% 40.77% 5.09% 70.17% 4.76% 1.45 0.63 7.95 29.78 0.79
10.76% 41.47% 5.09% 5.70% 10.36% 0.58 10.60 31.59 53.32 7.38
10.91% 37.04% 5.09% 7.22% 10.40% 1.16 5.24 18.18 21.53 8.10
7.61% 45.07% 5.09% 22.94% 6.74% 0.83 1.70 8.38 14.23 1.36
9.82% 36.28% 5.09% 8.01% 9.34% 2.23 2.89 18.95 23.68 8.71
8.98% 52.79% 5.35% 3.06% 8.83% 0.74 6.03 17.16 22.22 6.24
11.31% 65.22% 6.09% 10.70% 10.59% 0.64 8.38 19.33 NA 9.00
9.83% 52.09% 5.35% 5.84% 9.49% 0.92 10.72 28.43 39.48 11.03
9.06% 38.10% 5.09% 16.79% 8.18% 2.17 0.94 5.93 7.73 1.76
8.88% 60.31% 5.35% 39.08% 6.98% 0.48 3.51 9.01 23.51 2.53
8.85% 46.62% 5.09% 10.25% 8.33% 1.45 3.61 13.98 17.65 5.14
7.49% 50.42% 5.35% 55.54% 5.56% 0.60 2.36 6.18 11.21 1.30
9.51% 48.00% 5.09% 25.87% 8.03% 2.18 4.80 10.84 11.67 NA
8.47% 56.20% 5.35% 23.57% 7.42% 2.01 1.87 12.83 21.71 5.35
8.56% 22.28% 4.50% 21.14% 7.46% 0.49 6.63 14.32 18.97 6.91
9.16% 28.33% 5.09% 16.63% 8.27% 1.84 1.81 10.57 20.59 3.58
6.55% 14.93% 4.50% 45.90% 5.09% 0.35 4.13 11.70 19.08 1.65
7.16% 28.20% 5.09% 33.73% 6.03% 0.25 7.90 16.86 25.64 2.30
 Pre-tax
Operating
Margin
Non-cash Cap Ex as Net Cap Ex Equity (Lease &
WC as % of % of as % of Reinvestmen Dividend Reinvestment R&D
Trailing PE Revenues Revenues Revenues t Rate ROE Payout Ratio Rate adjusted)
175.73 1.25% 1.83% -1.69% -0.99% 3.25% 282.84% 282.84% 10.14%
32.52 45.04% 2.83% 2.28% 39.25% 13.19% 53.69% 53.69% 8.77%
12.66 1.09% 11.16% 6.72% 118.59% 21.94% 7.86% 7.86% 6.72%
18.69 24.65% 2.42% 0.54% -7.29% 9.20% 74.98% 74.98% 9.60%
21.12 -2.20% 6.41% 2.66% 81.47% 9.37% 35.46% 35.46% 5.10%
39.03 15.45% 3.71% 3.17% 95.18% 5.72% 45.37% 45.37% 5.85%
8.55 NA 1.97% 1.30% 5572.88% 14.87% 24.34% 24.34% 0.08%
35.97 NA 2.73% -10.09% NA 12.14% 32.01% 32.01% -0.18%
35.38 17.12% 7.66% 9.39% 90.81% 8.70% 54.63% 54.63% 20.75%
33.67 -7.14% 4.65% 2.39% 25.68% 30.56% 66.39% 66.39% 19.40%
7.82 10.92% 2.52% -2.06% 211.44% -2.16% 0.22% 0.22% 11.73%
222.19 NA 3.41% 1.68% 5643.37% 10.41% 43.53% 43.53% 0.58%
24.85 18.36% 3.25% 2.45% -0.76% 21.35% 29.02% 29.02% 13.77%
86.90 13.48% 2.98% 1.69% 25.45% 14.00% 59.78% 59.78% 11.31%
16.12 -0.10% 14.08% 1.65% 15.77% 19.47% 21.93% 21.93% 19.09%
12.41 14.74% 5.51% 3.08% 17.37% 8.89% 131.27% 131.27% 8.02%
30.53 17.62% 4.51% -0.58% -555.65% -2.36% 1.04% 1.04% 1.46%
60.90 22.75% 8.46% 9.81% 103.48% 14.94% 33.25% 33.25% 13.05%
91.91 6.13% 9.30% 1.59% 13.28% 29.07% 15.16% 15.16% 20.55%
76.13 13.85% 1.23% 0.82% 23.80% 18.77% 57.07% 57.07% 7.30%
31.83 -9.87% 3.06% 0.90% 9.24% 0.00% 17.44% 17.44% 21.48%
63.10 22.90% 9.47% 3.45% 39.65% 17.20% 15.19% 15.19% 18.71%
13.80 5.00% 4.48% 4.61% 25.08% 15.87% 8.16% 8.16% 23.07%
30.39 9.98% 3.82% 3.47% NA -11.59% 0.09% 0.09% 3.83%
57.63 22.37% 5.31% 12.97% 85.39% 17.32% 69.96% 69.96% 21.33%
34.57 9.08% 2.92% 0.33% 97.50% 1.67% 38.08% 38.08% 5.16%
24.69 28.27% 6.16% 9.82% 214.64% 23.70% 17.18% 17.18% 9.57%
38.63 15.53% 1.56% -0.22% NA -6.63% 0.00% 0.00% 0.57%
102.26 24.01% 4.06% 4.12% 70.43% 8.80% 28.53% 28.53% 9.80%
36.14 18.94% 3.74% 2.84% 66.62% 21.24% 24.75% 24.75% 10.64%
31.17 3.81% 4.37% -2.26% -20.65% -0.27% 0.34% 0.34% 7.05%
31.28 10.18% 7.84% 6.48% 70.10% 21.01% 36.34% 36.34% 13.82%
21.61 14.72% 3.40% 2.70% 53.01% 27.51% 17.33% 17.33% 10.49%
25.81 1260.44% 2.84% 2.78% 20.11% 21.31% 31.70% 31.70% 16.01%
30.03 7.75% 4.47% 3.30% 46.46% 8.98% 76.42% 76.42% 10.67%
26.10 5.78% 0.93% 0.90% 47.19% 21.11% 38.16% 38.16% 2.22%
19.58 13.97% 3.24% 7.22% 97.31% -6.53% 0.86% 0.86% 6.11%
39.87 -27.98% 44.32% 20.46% 115.90% 10.68% 25.60% 25.60% 21.78%
61.89 25.57% 4.90% 2.08% 49.51% 8.31% 41.77% 41.77% 13.84%
80.17 -6.53% 0.71% 1.92% 62.75% 15.62% 29.63% 29.63% 3.86%
44.44 22.95% 4.51% 2.67% 31.34% 5.18% 19.73% 19.73% 14.15%
 10.66 58.51% 0.51% 0.36% -5.00% 22.88% 6.43% 6.43% 16.30%
22.87 11.17% 6.25% 2.20% 34.92% 61.97% 12.78% 12.78% 11.55%
32.22 2.99% 6.71% 1.12% 21.81% 35.87% 8.43% 8.43% 13.54%
42.52 5.11% 3.52% 1.11% 2.04% 36.41% 66.56% 66.56% 18.90%
24.76 15.73% 1.90% -3.63% -26.31% 8.43% 60.70% 60.70% 12.34%
92.18 -0.01% 0.93% -2.60% 37.90% 13.52% 32.75% 32.75% 15.27%
176.38 28.62% 0.18% -2.56% NA 1.32% 381.21% 381.21% 0.13%
20.72 -40.94% 0.78% -0.13% 28.66% 10.36% 35.13% 35.13% 7.49%
69.38 NA 2.97% 6.14% 54.67% 13.78% 42.11% 42.11% 14.67%
26.95 25.17% 2.44% 6.43% 66.77% 19.02% 36.27% 36.27% 15.06%
33.13 15.32% 13.03% 5.91% 63.15% 12.17% 95.47% 95.47% 19.56%
249.16 9.13% 2.29% 1.98% 16.58% 2.66% 225.17% 225.17% 7.53%
8.02 3.37% 7.39% -0.02% -1.67% 19.85% 37.14% 37.14% 15.78%
16.33 1.00% 30.05% 16.05% 50.40% 31.09% 31.27% 31.27% 37.69%
18.41 2.53% 16.53% 13.12% 40.28% 42.41% 39.84% 39.84% 38.21%
70.30 6.34% 2.36% 0.58% 15.49% 29.65% 18.81% 18.81% 8.85%
17.37 7.67% 6.76% 3.86% 70.32% 19.62% 25.85% 25.85% 10.21%
19.99 12.90% 7.59% 5.07% 99.70% 15.17% 27.58% 27.58% 10.14%
23.19 8.26% 33.95% 22.70% 173.43% 8.60% 76.67% 76.67% 16.29%
34.23 9.83% 25.41% 9.54% 146.26% -2.33% 0.88% 0.88% 9.48%
33.97 11.80% 3.78% -1.45% -12.40% 2.54% 96.09% 96.09% 7.26%
123.36 117.77% 2.09% -16.89% -82.96% 4.15% 232.08% 232.08% 19.65%
8.02 4.08% 2.54% -5.93% -97.27% -8.54% 0.00% 0.00% 11.16%
33.23 201.30% 2.84% -5.14% -59.41% 9.11% 24.92% 24.92% 16.44%
104.24 9.69% 1.30% -1.17% NA -8.27% 0.76% 0.76% 0.05%
27.70 18.04% 7.11% 3.21% 56.16% 2.56% 199.59% 199.59% 8.10%
9.34 17.09% 0.14% 4.33% 75.61% 31.23% 18.93% 18.93% 9.66%
94.19 0.86% 5.79% 3.57% 34.51% NA 53.08% 53.08% 13.61%
17.89 9.98% 1.91% 2.18% 71.35% 47.33% 5.79% 5.79% 5.71%
27.87 8.47% 2.43% 0.85% 2.33% NA 46.64% 46.64% 12.38%
28.91 17.42% 6.26% 9.22% 103.75% 25.45% 25.22% 25.22% 12.17%
29.84 0.77% 5.20% 2.28% 79.45% 19.55% 21.74% 21.74% 4.70%
16.76 -0.24% 2.66% 1.33% 114.28% 14.78% 36.92% 36.92% 2.65%
74.09 -9.87% 5.17% -26.53% -81.80% 6.52% 155.57% 155.57% 35.01%
48.79 5.06% 2.59% 2.66% 55.23% 9.64% 87.04% 87.04% 4.80%
#DIV/0! 10.69% 5.42% 0.71% -32.00% -10.00% #DIV/0! #DIV/0! 2.16%
82.75 22.40% 17.00% 6.90% 49.86% 12.61% 48.87% 48.87% 20.54%
163.52 34.56% 5.08% 2.60% 13.88% 32.89% 20.09% 20.09% 25.00%
24.76 11.30% 10.24% 4.03% 50.27% 7.82% 29.34% 29.34% 11.94%
19.77 19.61% 0.86% -0.52% -20.18% 29.90% 32.26% 32.26% 12.18%
30.82 4.78% 12.67% 8.70% 46.79% 23.26% 0.25% 0.25% 28.17%
35.18 9.67% 5.58% 2.83% NA -14.54% 0.00% 0.00% -0.83%
88.72 11.20% 8.67% 5.92% 36.38% 24.44% 27.22% 27.22% 26.30%
14.54 19.02% 6.20% 4.21% 15.70% 22.19% 12.47% 12.47% 12.15%
67.85 6.27% 15.31% -0.30% 55.10% 9.74% 11.05% 11.05% 14.95%
70.49 23.09% 2.78% 3.98% 36.67% 24.55% 46.08% 46.08% 20.71%
77.10 -3.22% 16.72% 2.43% 20.12% -0.34% 0.16% 0.16% 20.98%
17.75 15.30% 2.71% 33.43% 117.64% NA 87.98% 87.98% 41.00%
26.99 7.71% 7.93% 4.79% 72.06% 22.06% 109.30% 109.30% 8.58%
22.29 2.26% 15.70% 5.60% 22.18% 31.68% 43.52% 43.52% 34.95%
36.08 6.75% 14.93% 9.10% 121.78% 12.97% 17.36% 17.36% 8.69%
17.48 13.37% 38.61% 25.91% 150.53% 11.15% 58.88% 58.88% 21.64%
34.88 11.35% 53.91% 40.18% 149.51% 15.98% 60.59% 39.24% 30.68%
 Annual
Average
Revenue Pre-tax
growth - Operating Average
Number of Last 5 Margin effective tax Unlevered
Industry Name firms years (Unadjusted) After-tax ROC rate Beta Equity (Levered) Beta
Advertising 391 6.07% 7.89% 22.32% 24.67% 1.23 1.35
Aerospace/Defense 289 9.31% 7.99% 13.94% 16.18% 0.90 0.98
Air Transport 155 2.48% 7.28% 7.61% 18.08% 0.81 1.29
Apparel 1152 2.99% 14.64% 21.31% 25.31% 0.78 0.83
Auto & Truck 165 8.13% 7.56% 8.62% 21.88% 1.10 1.36
Auto Parts 761 6.87% 5.01% 6.95% 24.08% 1.21 1.31
Bank (Money Center 607 12.03% 0.28% 0.04% 18.59% 0.42 0.88
Banks (Regional) 881 8.40% -0.01% -0.01% 19.18% 0.28 0.52
Beverage (Alcoholic) 220 8.25% 21.69% 16.07% 21.95% 0.69 0.75
Beverage (Soft) 100 13.11% 16.71% 26.08% 20.41% 0.66 0.71
Broadcasting 130 4.03% 9.91% 8.82% 25.29% 0.66 0.98
Brokerage & Investm 590 10.42% 1.18% 0.18% 18.96% 0.40 0.93
Building Materials 457 6.03% 10.64% 16.73% 22.84% 0.94 1.03
Business & Consume 980 7.48% 9.15% 21.05% 24.71% 0.96 1.04
Cable TV 48 4.19% 18.61% 12.00% 25.00% 0.61 1.02
Chemical (Basic) 888 8.59% 4.65% 4.64% 19.90% 0.90 1.07
Chemical (Diversified 64 8.10% 6.62% 5.45% 22.37% 0.85 1.09
Chemical (Specialty) 949 9.48% 11.95% 12.38% 20.89% 0.94 1.03
Coal & Related Ener 215 14.78% 24.03% 32.22% 22.56% 1.08 1.01
Computer Services 1164 10.30% 7.56% 21.09% 23.63% 1.00 1.04
Computers/Periphera 338 0.58% 11.39% 15.75% 15.10% 1.25 1.27
Construction Supplie 453 9.48% 9.89% 7.75% 22.83% 0.74 0.90
Diversified 326 8.09% 15.64% 11.94% 17.38% 0.74 0.95
Drugs (Biotechnolog 1259 20.21% -0.43% 0.69% 16.29% 1.15 1.17
Drugs (Pharmaceutic 1299 18.01% 18.17% 12.87% 16.61% 0.89 0.95
Education 260 10.49% 11.07% 9.27% 20.12% 0.76 0.83
Electrical Equipment 1072 10.65% 7.13% 10.90% 18.78% 1.10 1.13
Electronics (Consume 127 3.04% 4.68% 6.23% 14.51% 1.13 1.23
Electronics (General 1486 5.84% 5.28% 6.44% 18.36% 1.28 1.28
Engineering/Construc 1623 6.36% 5.68% 8.78% 22.55% 0.81 1.01
Entertainment 741 9.61% 7.30% 7.47% 22.10% 1.03 1.11
Environmental & Was 383 8.21% 10.59% 10.78% 22.83% 0.83 1.00
Farming/Agriculture 430 11.07% 8.16% 10.56% 21.47% 0.57 0.77
Financial Svcs. (Non 1258 12.56% 12.68% 0.94% 17.19% 0.28 0.91
Food Processing 1657 8.47% 7.66% 11.46% 23.28% 0.61 0.72
Food Wholesalers 173 7.76% 2.47% 10.68% 24.53% 0.50 0.67
Furn/Home Furnishi 383 5.15% 7.24% 13.13% 18.19% 0.93 0.95
Green & Renewable 253 13.56% 29.24% 7.17% 16.00% 0.61 0.87
Healthcare Products 849 15.23% 12.43% 11.04% 20.59% 1.04 1.10
Healthcare Support 463 12.62% 3.95% 28.93% 23.07% 0.82 0.91
Heathcare Informati 443 16.61% 13.60% 12.76% 14.06% 1.17 1.23
Homebuilding 173 7.83% 13.28% 14.42% 24.28% 1.01 1.09
Hospitals/Healthcare 232 11.02% 10.86% 12.32% 20.09% 0.58 0.76
Hotel/Gaming 650 3.48% 14.02% 8.27% 20.56% 0.79 0.98
Household Products 178 3.95% 16.56% 25.24% 22.23% 0.68 0.73
Information Services 81 2.07% 10.93% 21.88% 25.72% 1.02 1.21
Insurance (General) 202 8.46% 11.83% 18.16% 20.99% 0.63 0.69
Insurance (Life) 137 8.27% 10.82% 9.64% 14.30% 0.77 0.89
Insurance (Prop/Cas. 228 9.06% 9.76% 13.31% 18.70% 0.66 0.71
Investments & Asse 1374 11.47% 17.62% 5.58% 17.30% 0.54 0.75
Machinery 1492 6.07% 9.92% 12.71% 21.30% 1.04 1.07
Metals & Mining 1815 19.80% 10.66% 14.84% 30.84% 0.99 1.09
Office Equipment & 137 7.10% 7.10% 11.21% 26.68% 0.78 0.83
Oil/Gas (Integrated) 36 17.37% 18.33% 21.96% 41.15% 0.94 0.99
Oil/Gas (Production 590 26.67% 36.36% 24.16% 31.26% 0.96 1.09
Oil/Gas Distribution 174 14.22% 20.65% 12.63% 17.58% 0.58 0.85
Oilfield Svcs/Equip. 444 7.79% 6.72% 14.55% 23.02% 0.82 0.98
Packaging & Contain 164 5.77% 9.17% 12.16% 21.20% 0.63 0.83
Paper/Forest Produc 266 3.02% 6.55% 4.96% 20.85% 0.67 0.91
Power 488 10.55% 13.54% 7.78% 20.81% 0.45 0.74
Precious Metals 853 39.66% 11.72% 9.09% 25.66% 1.04 1.09
Publishing & Newspa 205 2.56% 7.57% 9.17% 11.85% 0.98 0.99
R.E.I.T. 633 9.18% 30.40% 3.19% 3.29% 0.52 0.80
Real Estate (Develo 884 10.49% 5.01% 2.05% 29.36% 0.42 0.98
Real Estate (General/ 336 4.39% 15.17% 3.51% 28.12% 0.54 0.94
Real Estate (Operati 748 8.53% 16.93% 3.91% 20.98% 0.56 0.88
Recreation 326 6.75% 11.26% 11.19% 24.55% 0.90 0.99
Reinsurance 34 8.03% 10.23% 23.30% 17.11% 1.09 1.14
Restaurant/Dining 394 3.63% 9.51% 12.88% 19.20% 0.85 0.98
Retail (Automotive) 204 7.40% 4.58% 10.48% 22.76% 0.72 1.00
Retail (Building Supp 120 5.39% 10.88% 24.34% 24.35% 0.96 1.11
Retail (Distributors) 1028 10.37% 5.22% 8.73% 22.08% 0.61 0.80
Retail (General) 256 0.96% 4.35% 8.35% 19.38% 0.99 1.09
Retail (Grocery and 201 5.33% 3.92% 10.89% 23.48% 0.55 0.71
Retail (REITs) 123 5.32% 48.37% 4.50% 4.50% 0.61 0.95
Retail (Special Lines 639 5.19% 5.04% 11.76% 25.22% 0.98 1.09
Rubber& Tires 89 5.15% 8.78% 8.67% 22.93% 0.88 1.04
Semiconductor 647 5.77% 16.32% 11.42% 12.20% 1.67 1.68
Semiconductor Equi 367 8.23% 21.82% 23.28% 15.58% 1.97 1.95
Shipbuilding & Marin 348 8.74% 17.22% 11.15% 13.25% 0.86 0.95
Shoe 85 -1.58% 9.68% 15.68% 18.94% 0.87 0.90
Software (Entertainm 317 9.02% 24.40% 15.96% 16.76% 1.36 1.36
Software (Internet) 151 12.34% -0.08% 1.31% 19.52% 1.30 1.36
Software (System & A 1616 14.32% 20.25% 18.34% 18.84% 1.29 1.30
Steel 718 8.99% 7.19% 9.05% 20.41% 1.01 1.17
Telecom (Wireless) 98 5.89% 14.60% 8.31% 22.35% 0.65 0.90
Telecom. Equipment 453 4.60% 11.00% 13.62% 14.78% 1.17 1.19
Telecom. Services 288 8.40% 15.47% 9.50% 21.85% 0.54 0.85
Tobacco 56 17.28% 33.76% 23.17% 22.44% 0.55 0.67
Transportation 814 6.88% 8.17% 11.09% 23.22% 0.83 0.96
Transportation (Rail 49 -0.31% 21.50% 6.91% 24.51% 0.50 0.63
Trucking 106 3.02% 8.60% 11.60% 25.77% 0.87 1.01
Utility (General) 50 7.82% 12.26% 8.32% 20.20% 0.45 0.68
Utility (Water) 102 6.43% 23.27% 6.23% 19.79% 0.43 0.67
 Std Market
Cost of deviation in Pre-tax cost Debt/Capita Cost of Sales/
equity stock prices of debt l capital Capital EV/Sales EV/EBITDA EV/EBIT Price/Book
12.55% 38.89% 6.44% 23.97% 10.69% 3.23 1.56 11.94 18.47 2.60
10.19% 35.10% 6.44% 17.20% 9.26% 1.83 2.26 17.91 27.41 4.47
12.13% 30.06% 6.44% 50.98% 8.40% 1.20 1.42 8.42 18.09 2.40
9.22% 32.72% 6.44% 14.56% 8.58% 1.67 2.44 13.19 16.13 3.63
12.60% 36.46% 6.44% 35.61% 9.83% 1.23 1.20 9.84 15.28 1.67
12.25% 30.39% 6.44% 23.44% 10.50% 1.73 0.83 8.55 15.81 1.50
9.50% 21.28% 5.85% 74.42% 5.68% 0.16 6.77 189.90 NA 0.84
7.23% 18.30% 5.85% 71.76% 5.18% 0.17 5.84 NA NA 0.74
8.66% 27.49% 6.44% 15.74% 8.05% 0.88 3.65 13.89 16.68 3.18
8.41% 32.24% 6.44% 14.15% 7.90% 1.76 3.54 17.27 21.07 6.22
10.17% 31.54% 6.44% 46.66% 7.67% 1.05 1.19 7.87 11.67 0.75
9.83% 31.95% 6.44% 71.23% 6.25% 0.18 6.82 189.17 NA 1.26
10.49% 28.00% 6.44% 17.80% 9.48% 1.84 1.71 11.51 15.69 2.82
10.56% 33.31% 6.44% 16.02% 9.64% 2.72 2.06 15.44 21.52 4.43
10.43% 30.91% 6.44% 49.23% 7.66% 0.76 2.54 7.88 13.84 1.87
10.76% 28.88% 6.44% 30.06% 8.97% 1.14 1.33 12.71 26.91 1.46
10.88% 22.36% 5.85% 35.78% 8.55% 1.08 1.02 7.98 14.42 1.12
10.46% 31.22% 6.44% 17.87% 9.45% 1.21 2.25 12.47 18.49 2.45
10.33% 50.42% 6.70% 16.52% 9.45% 1.49 1.31 4.07 5.17 1.50
10.56% 32.90% 6.44% 12.39% 9.84% 3.29 1.52 14.68 19.46 4.00
12.00% 32.94% 6.44% 7.03% 11.49% 1.64 3.05 18.66 26.44 6.80
9.62% 26.87% 6.44% 29.92% 8.18% 0.95 1.65 10.17 16.39 1.32
9.99% 27.14% 6.44% 34.01% 8.23% 0.85 1.83 8.93 11.14 1.22
11.40% 53.28% 6.70% 12.54% 10.60% 0.42 6.96 15.32 NA 5.11
9.95% 41.51% 6.44% 13.36% 9.26% 0.71 4.05 14.60 21.71 3.88
9.21% 34.53% 6.44% 22.38% 8.22% 0.97 2.29 10.92 18.17 1.95
11.13% 35.11% 6.44% 14.98% 10.18% 1.67 1.94 15.55 24.89 2.82
11.75% 33.86% 6.44% 23.24% 10.13% 1.48 0.94 11.44 19.49 1.72
12.10% 32.53% 6.44% 15.71% 10.95% 1.36 1.59 14.16 28.29 2.27
10.38% 30.52% 6.44% 40.14% 8.14% 1.80 0.78 9.40 13.17 1.31
10.98% 41.35% 6.44% 18.21% 9.86% 1.09 2.91 15.78 36.44 2.48
10.30% 33.89% 6.44% 25.93% 8.88% 1.16 2.78 14.04 24.86 3.02
8.84% 34.05% 6.44% 36.69% 7.36% 1.45 1.08 9.75 12.67 1.83
9.69% 34.61% 6.44% 76.99% 5.93% 0.09 14.43 48.69 67.19 2.24
8.50% 28.61% 6.44% 25.10% 7.57% 1.76 1.39 12.15 17.80 2.27
8.17% 30.82% 6.44% 36.58% 6.94% 5.27 0.37 9.71 14.91 2.15
9.96% 29.72% 6.44% 21.84% 8.84% 2.09 1.03 9.74 13.62 2.05
9.43% 33.37% 6.44% 39.20% 7.62% 0.27 7.40 13.95 22.79 2.01
10.92% 42.34% 6.44% 11.70% 10.20% 0.93 4.41 20.07 33.89 3.58
9.71% 37.81% 6.44% 23.00% 8.59% 8.66 0.61 11.06 15.22 2.62
11.79% 44.93% 6.44% 12.09% 10.94% 0.98 5.25 21.66 36.68 3.94
10.90% 28.97% 6.44% 23.11% 9.49% 1.39 1.18 8.03 9.17 1.58
8.78% 29.53% 6.44% 32.21% 7.50% 1.38 2.31 12.44 20.58 4.08
10.16% 33.83% 6.44% 31.64% 8.46% 0.76 3.56 15.09 28.37 3.96
 8.54% 29.78% 6.44% 13.33% 8.04% 1.78 3.10 15.11 18.46 6.04
11.64% 33.63% 6.44% 25.72% 9.88% 2.30 1.93 11.38 16.97 3.37
8.27% 24.79% 5.85% 26.01% 7.26% 1.81 1.17 8.14 8.60 1.78
9.56% 25.29% 6.44% 50.93% 7.14% 1.03 1.06 7.22 8.81 1.12
8.44% 26.74% 6.44% 18.25% 7.77% 1.65 1.13 9.25 10.82 1.59
8.71% 29.52% 6.44% 42.42% 7.05% 0.35 4.66 16.81 20.17 1.38
10.74% 29.76% 6.44% 13.31% 9.95% 1.48 2.15 14.74 20.51 2.93
10.87% 57.51% 6.70% 21.73% 9.60% 1.44 1.32 7.82 11.72 1.84
9.19% 27.91% 6.44% 22.26% 8.22% 1.95 1.06 9.43 14.41 1.84
10.23% 26.84% 6.44% 14.88% 9.42% 1.66 1.27 5.33 6.91 2.00
10.86% 48.39% 6.44% 21.37% 9.57% 0.72 2.38 4.22 6.40 1.54
9.36% 29.60% 6.44% 41.34% 7.48% 0.70 2.44 8.65 11.67 1.73
10.14% 36.10% 6.44% 29.36% 8.57% 2.48 0.64 6.44 8.89 1.49
9.18% 25.95% 6.44% 34.48% 7.67% 1.56 1.40 9.29 15.09 2.20
9.72% 29.23% 6.44% 39.22% 7.79% 0.87 1.31 10.15 19.41 1.07
8.60% 25.34% 6.44% 49.59% 6.72% 0.69 1.98 8.71 14.11 1.31
10.88% 60.16% 6.70% 15.54% 9.96% 0.81 2.39 8.81 18.83 1.68
10.20% 30.05% 6.44% 17.70% 9.25% 1.44 1.54 12.20 19.63 1.68
9.03% 19.44% 5.85% 44.10% 6.98% 0.11 11.93 21.66 36.91 1.49
10.19% 32.26% 6.44% 71.34% 6.35% 0.48 1.68 13.21 25.06 0.47
9.91% 25.55% 6.44% 54.74% 7.12% 0.26 3.35 13.53 19.76 0.68
9.49% 28.97% 6.44% 47.13% 7.28% 0.25 4.07 16.50 21.26 0.92
10.26% 31.55% 6.44% 21.27% 9.10% 1.22 2.16 11.79 19.32 3.04
11.19% 23.43% 5.85% 21.54% 9.72% 2.61 0.76 8.52 7.38 1.34
10.16% 29.86% 6.44% 21.47% 9.01% 1.72 2.69 16.48 29.13 9.19
10.28% 32.73% 6.44% 38.45% 8.18% 2.92 0.76 11.19 16.61 3.25
10.98% 30.07% 6.44% 18.64% 9.83% 2.83 1.86 12.92 17.01 19.81
9.02% 31.08% 6.44% 36.45% 7.49% 1.99 0.83 11.84 15.17 1.69
10.84% 29.73% 6.44% 16.81% 9.82% 2.13 1.48 15.61 34.18 4.78
8.40% 25.26% 6.44% 33.37% 7.20% 3.42 0.63 9.29 15.85 2.51
9.95% 17.43% 5.85% 43.60% 7.52% 0.10 12.06 18.14 23.00 1.17
10.87% 33.82% 6.44% 21.09% 9.59% 2.69 1.12 11.71 21.07 3.58
10.58% 26.90% 6.44% 29.81% 8.86% 1.18 1.03 6.94 11.45 1.25
14.66% 34.38% 6.44% 7.37% 13.94% 0.74 6.33 20.98 37.45 5.05
16.41% 33.51% 6.44% 5.80% 15.73% 1.18 5.14 19.32 23.20 6.02
9.94% 29.86% 6.44% 30.87% 8.36% 0.75 1.48 6.12 8.45 0.95
9.65% 31.72% 6.44% 11.00% 9.11% 1.88 2.27 17.31 23.14 4.85
12.58% 43.82% 6.44% 4.78% 12.21% 0.70 5.60 17.54 22.71 5.14
12.61% 46.98% 6.44% 9.98% 11.83% 0.88 6.01 20.44 NA 7.97
12.21% 43.59% 6.44% 5.85% 11.77% 0.93 9.20 28.48 41.07 9.15
11.35% 32.68% 6.44% 29.28% 9.43% 1.46 0.82 6.90 10.90 1.14
9.63% 29.27% 6.44% 40.04% 7.70% 0.71 2.25 7.37 15.64 1.54
11.48% 36.12% 6.44% 11.42% 10.72% 1.26 2.32 14.28 19.41 3.46
9.32% 30.13% 6.44% 45.67% 7.26% 0.70 2.16 6.88 13.87 1.38
8.15% 31.22% 6.44% 24.86% 7.32% 0.83 3.47 9.33 10.23 3.17
10.04% 33.83% 6.44% 23.40% 8.82% 1.57 1.75 13.10 20.73 2.98
7.91% 19.26% 5.85% 29.64% 6.86% 0.42 4.33 13.31 19.99 2.36
10.38% 29.12% 6.44% 22.29% 9.14% 1.66 1.59 9.98 17.98 2.86
8.26% 18.49% 5.85% 44.49% 6.53% 0.81 1.88 9.86 15.29 1.62
8.18% 23.64% 5.85% 46.44% 6.41% 0.31 4.59 12.67 19.57 1.48
 Pre-tax
Operating
Margin
Non-cash Cap Ex as Net Cap Ex Dividend Equity (Lease &
WC as % of % of as % of Reinvestmen Payout Reinvestmen R&D
Trailing PE Revenues Revenues Revenues t Rate ROE Ratio t Rate adjusted)
53.68 -2.51% 1.72% 0.17% 25.11% 7.54% 76.01% 76.01% 8.07%
77.15 38.81% 3.54% 2.15% 40.17% 14.14% 44.96% 44.96% 8.36%
96.63 -2.85% 9.87% 3.46% 30.36% 19.65% 25.21% 25.21% 7.23%
42.49 22.43% 5.16% 3.43% 52.15% 17.06% 42.38% 42.38% 14.80%
42.26 2.13% 6.07% 3.46% 70.38% 14.50% 26.55% 26.55% 7.74%
130.49 11.76% 5.37% 3.85% 116.14% 7.58% 41.66% 41.66% 4.83%
14.73 NA 3.33% 5.08% 1957.50% 12.65% 30.70% 30.70% 0.31%
28.98 NA 2.96% -4.27% NA 9.83% 29.09% 29.09% -0.10%
49.81 10.80% 5.11% 2.92% 39.67% 16.53% 44.61% 44.61% 21.74%
34.11 -4.62% 4.67% 2.27% 28.35% 25.76% 63.11% 63.11% 16.78%
45.34 12.36% 3.77% -0.27% 153.68% -0.36% 0.47% 0.47% 9.88%
115.18 NA 3.21% 1.78% 846.02% 7.66% 59.63% 59.63% 1.13%
28.79 17.49% 4.35% 5.16% 68.00% 13.39% 38.89% 38.89% 10.79%
215.35 10.54% 2.71% 1.45% 30.42% 13.59% 54.38% 54.38% 9.31%
34.88 0.75% 14.16% 1.41% 18.03% 15.88% 24.73% 24.73% 18.27%
113.95 13.11% 9.34% 6.65% 194.59% 3.84% 141.79% 141.79% 4.70%
82.99 19.33% 7.26% 3.00% 49.02% 2.91% 170.74% 170.74% 6.53%
46.35 18.24% 8.83% 6.74% 78.86% 12.07% 51.72% 51.72% 11.94%
25.30 -3.02% 9.05% 5.12% 24.95% 21.36% 76.43% 76.43% 24.08%
64.47 15.36% 1.53% 1.13% 27.66% 16.02% 53.07% 53.07% 7.68%
54.68 2.10% 5.68% 3.46% 38.94% 28.45% 24.87% 24.87% 11.01%
82.49 13.30% 7.87% 4.20% 78.19% 8.37% 46.49% 46.49% 9.85%
18.17 -9.45% 4.90% 3.61% 37.09% 13.10% 20.07% 20.07% 16.23%
127.84 17.16% 5.67% 9.62% NA -8.83% 0.47% 0.47% 1.63%
41.51 15.49% 5.01% 5.71% 44.22% 13.20% 63.54% 63.54% 19.79%
125.42 3.48% 5.72% 3.01% 57.59% 5.12% 57.71% 57.71% 10.89%
97.35 21.72% 6.89% 6.03% 162.24% 10.86% 39.38% 39.38% 7.39%
40.79 6.63% 4.20% 2.70% 87.12% 7.31% 32.24% 32.24% 4.75%
102.00 18.92% 6.31% 3.57% 96.58% 6.68% 61.91% 61.91% 5.34%
42.84 15.92% 3.37% 2.23% 107.28% 10.08% 53.47% 53.47% 5.77%
156.17 4.00% 3.72% -2.55% -34.12% 2.27% 89.24% 89.24% 7.48%
39.26 14.71% 8.65% 7.45% 134.69% 8.07% 63.17% 63.17% 10.71%
26.81 16.20% 4.19% 2.71% 59.83% 14.47% 33.02% 33.02% 8.38%
75.54 NA 4.00% -7.38% -68.66% 18.04% 25.76% 25.76% 12.77%
46.46 10.53% 4.62% 2.54% 61.95% 9.92% 65.85% 65.85% 7.71%
49.79 5.87% 1.42% 0.90% 48.47% 8.91% 56.95% 56.95% 2.47%
37.84 4.91% 3.59% 3.10% 53.44% 11.21% 70.05% 70.05% 7.33%
49.91 9.72% 41.56% 36.68% 152.14% 10.75% 66.39% 66.39% 29.15%
94.73 25.69% 5.43% 3.47% 67.33% 7.58% 50.70% 50.70% 12.86%
57.50 -2.73% 0.87% 1.66% 57.45% 12.15% 36.88% 36.88% 3.91%
128.07 23.90% 7.15% 6.14% 71.59% 6.03% 24.43% 24.43% 13.84%
20.55 60.93% 0.69% 0.51% 20.29% 16.61% 18.14% 18.14% 12.79%
41.98 6.96% 7.17% 2.45% 40.77% 11.95% 45.89% 45.89% 10.77%
60.19 -1.98% 6.31% 0.85% 16.02% 10.91% 27.14% 27.14% 12.34%
 53.67 5.32% 3.57% 1.32% 7.06% 26.80% 65.69% 65.69% 16.66%
143.50 14.32% 1.97% -1.39% 0.15% 8.98% 55.28% 55.28% 11.38%
22.77 -1.59% 0.76% 0.42% 2.02% 15.20% 42.45% 42.45% 11.84%
45.47 -96.19% 0.69% 0.48% -7.88% 7.42% 61.91% 61.91% 10.83%
19.55 -28.48% 0.70% -0.31% 19.02% 12.31% 31.77% 31.77% 9.79%
56.35 NA 3.60% 7.68% 52.42% 10.45% 56.05% 56.05% 17.50%
59.82 28.32% 4.19% 4.24% 91.59% 12.00% 41.45% 41.45% 10.08%
54.20 11.98% 8.00% 4.90% 84.86% 10.50% 85.95% 85.95% 10.72%
148.71 13.32% 2.47% 1.61% 30.44% 8.26% 52.40% 52.40% 7.15%
14.03 3.25% 7.55% 1.79% 14.71% 21.12% 48.94% 48.94% 18.40%
17.55 1.14% 27.79% 14.23% 53.68% 21.87% 38.35% 38.35% 36.60%
379.61 4.04% 11.72% 8.02% 47.88% 19.80% 58.13% 58.13% 20.77%
46.83 6.44% 3.93% 2.15% 41.17% 16.71% 25.28% 25.28% 6.78%
29.95 13.50% 7.34% 4.09% 76.47% 12.44% 40.55% 40.55% 9.21%
53.23 19.30% 10.36% 6.83% 152.70% 6.47% 55.88% 55.88% 6.53%
19.75 5.13% 16.15% 9.78% 94.00% 12.43% 63.06% 63.06% 13.55%
250.17 10.88% 18.59% 11.28% 156.07% 4.32% 98.31% 98.31% 11.75%
41.06 8.44% 3.02% -1.31% -10.84% 8.91% 41.36% 41.36% 7.37%
65.22 94.40% 6.07% -5.90% -18.40% 2.03% 342.98% 342.98% 28.38%
85.62 193.73% 2.42% 1.56% -248.75% -3.48% 0.80% 0.80% 4.98%
82.38 112.97% 8.63% 8.26% 110.17% 3.97% 57.55% 57.55% 15.73%
66.29 19.38% 2.51% 2.32% 13.56% -2.82% 0.66% 0.66% 17.58%
65.71 16.35% 6.22% 3.06% 48.29% 9.45% 48.69% 48.69% 10.63%
13.50 -69.73% 0.07% 1.85% 31.39% 19.00% 21.04% 21.04% 10.23%
79.59 -1.56% 4.21% 1.65% 24.84% 24.65% 64.04% 64.04% 8.69%
30.24 10.71% 1.95% 1.73% 82.83% 20.77% 26.14% 26.14% 4.37%
33.62 8.97% 2.64% 0.85% 5.88% 85.23% 47.32% 47.32% 10.74%
47.96 15.95% 2.74% 2.79% 75.08% 14.33% 36.17% 36.17% 5.26%
65.25 -1.25% 4.72% 1.90% 72.59% 15.08% 25.89% 25.89% 4.60%
40.91 -3.03% 2.96% 0.99% 30.01% 10.05% 50.22% 50.22% 3.96%
77.56 -7.14% 3.46% -3.25% -8.53% 3.56% 165.16% 165.16% 47.50%
48.40 6.13% 2.26% 1.02% 22.25% 8.23% 71.10% 71.10% 5.16%
30.55 22.17% 6.43% 4.07% 70.27% 9.02% 36.94% 36.94% 8.84%
110.97 16.66% 20.55% 11.50% 93.44% 12.68% 50.89% 50.89% 16.74%
53.59 31.06% 10.52% 8.21% 60.57% 26.29% 28.64% 28.64% 22.43%
16.82 -0.49% 10.79% 5.45% 15.41% 13.64% 98.44% 98.44% 17.20%
37.92 20.00% 1.55% -0.48% -16.08% 18.73% 40.97% 40.97% 9.68%
235.21 1.24% 10.66% 6.94% 40.57% 20.90% 2.74% 2.74% 25.40%
62.97 5.21% 5.95% 3.35% NA -10.00% 0.37% 0.37% 1.49%
96.43 13.35% 7.23% 5.89% 47.63% 16.96% 32.89% 32.89% 21.28%
42.98 14.64% 6.05% 3.84% 53.66% 0.01% 50.76% 50.76% 7.22%
33.14 -13.70% 15.23% 1.56% 30.51% 8.18% 73.58% 73.58% 14.33%
120.32 24.68% 3.16% 2.56% 53.62% 12.94% 53.28% 53.28% 11.67%
41.99 -0.23% 14.74% -1.41% -3.28% 7.80% 89.73% 89.73% 15.57%
32.35 16.06% 2.79% 12.23% 54.79% 28.43% 71.67% 71.67% 33.88%
67.82 4.17% 4.79% 1.79% 26.74% 13.67% 70.69% 70.69% 8.25%
54.74 5.75% 15.78% 9.37% 60.00% 11.85% 40.05% 40.05% 21.54%
27.98 6.89% 11.44% 7.09% 105.34% 12.02% 20.67% 20.67% 8.76%
20.36 -0.60% 14.21% 7.75% 78.42% 10.61% 66.70% 66.70% 12.24%
26.69 7.35% 22.67% 11.57% 96.25% 0.86% 83.29% 46.71% 23.25%
 Revenue Growth Rate = Last 3 yearsPre-tax Operating
Industry Group count Quartlie Median Quartile Quartlie
Advertising 391 -2.27% 7.93% 20.70% -5.16%
Aerospace/Defense 289 0.27% 6.13% 16.70% -6.33%
Air Transport 155 9.21% 18.80% 31.10% -3.37%
Apparel 1,152 -1.19% 8.03% 20.50% -2.99%
Auto & Truck 165 4.34% 15.30% 24.30% -25.44%
Auto Parts 761 7.75% 13.30% 21.70% 1.79%
Bank (Money Center) 607 8.23% 14.20% 23.90% 0.00%
Banks (Regional) 881 4.44% 9.13% 15.40% 0.00%
Beverage (Alcoholic) 220 4.62% 10.40% 18.00% 1.88%
Beverage (Soft) 100 3.94% 9.91% 16.10% -15.73%
Broadcasting 130 -0.19% 4.52% 9.12% -2.51%
Brokerage & Investment Banking 590 -3.80% 7.22% 25.30% 0.00%
Building Materials 457 1.97% 9.13% 16.90% 1.15%
Business & Consumer Services 980 2.59% 8.80% 18.40% 0.00%
Cable TV 48 -4.07% 0.43% 4.34% -0.92%
Chemical (Basic) 888 4.49% 12.00% 22.40% -0.10%
Chemical (Diversified) 64 5.66% 12.00% 18.40% 2.85%
Chemical (Specialty) 949 3.82% 11.40% 21.10% 0.25%
Coal & Related Energy 215 11.00% 21.20% 37.70% -12.98%
Computer Services 1,164 1.61% 9.73% 19.50% 0.52%
Computers/Peripherals 338 -4.21% 3.36% 10.20% -5.04%
Construction Supplies 453 1.41% 9.97% 19.50% 1.70%
Diversified 326 4.46% 12.60% 23.10% 2.76%
Drugs (Biotechnology) 1,259 -5.30% 11.00% 39.90% -1287.08%
Drugs (Pharmaceutical) 1,299 1.21% 9.00% 18.40% -29.81%
Education 260 0.51% 9.57% 20.60% -3.42%
Electrical Equipment 1,072 3.42% 12.70% 26.60% -1.39%
Electronics (Consumer & Office) 127 -4.38% 5.73% 13.80% -5.80%
Electronics (General) 1,486 -1.66% 6.21% 14.90% -6.28%
Engineering/Construction 1,623 -1.92% 6.68% 17.70% -0.26%
Entertainment 741 -2.81% 10.20% 27.20% -24.58%
Environmental & Waste Services 383 -0.18% 9.64% 20.80% -6.80%
Farming/Agriculture 430 4.94% 13.70% 22.30% -1.60%
Financial Svcs. (Non-bank & Insurance) 1,258 0.14% 10.80% 23.80% 0.00%
Food Processing 1,657 2.52% 8.67% 16.90% 0.81%
Food Wholesalers 173 1.47% 7.76% 21.30% 0.65%
Furn/Home Furnishings 383 -1.40% 6.76% 15.30% 0.00%
Green & Renewable Energy 253 2.13% 14.80% 37.00% 3.96%
Healthcare Products 849 1.86% 11.00% 23.10% -93.27%
Healthcare Support Services 463 3.29% 9.83% 20.60% -5.05%
Heathcare Information and Technology 443 4.21% 13.60% 28.60% -88.19%
Homebuilding 173 2.81% 9.16% 17.20% 2.49%
Hospitals/Healthcare Facilities 232 6.09% 12.60% 20.90% 3.76%
Hotel/Gaming 650 5.73% 18.10% 31.10% -5.94%
Household Products 178 -1.65% 4.53% 13.90% -1.42%
Information Services 81 0.83% 7.09% 15.40% 1.99%
Insurance (General) 202 3.48% 9.60% 17.20% 3.93%
Insurance (Life) 137 -2.36% 4.23% 16.10% 0.02%
Insurance (Prop/Cas.) 228 3.80% 8.58% 17.60% 4.94%
Investments & Asset Management 1,374 -2.90% 11.40% 30.00% -0.13%
Machinery 1,492 3.60% 10.10% 18.80% 1.43%
Metals & Mining 1,815 3.25% 16.70% 32.80% -961.11%
Missing 17 0.00%
Office Equipment & Services 137 2.09% 6.10% 13.60% 0.88%
Oil/Gas (Integrated) 36 15.40% 21.30% 28.20% 6.67%
Oil/Gas (Production and Exploration) 590 8.47% 24.60% 43.80% -31.81%
Oil/Gas Distribution 174 1.58% 11.20% 22.40% 2.07%
Oilfield Svcs/Equip. 444 2.54% 15.60% 27.40% -0.22%
Packaging & Container 164 3.42% 7.75% 14.10% 3.03%
Paper/Forest Products 266 3.38% 9.86% 18.60% -1.26%
Power 488 6.54% 12.70% 20.70% 4.39%
Precious Metals 853 0.29% 11.10% 28.90% -380.00%
Publishing & Newspapers 205 -1.31% 4.47% 10.90% -3.22%
R.E.I.T. 633 1.14% 6.98% 17.40% 18.51%
Real Estate (Development) 884 -10.90% 4.76% 23.90% -7.30%
Real Estate (General/Diversified) 336 -6.02% 7.10% 20.70% 0.54%
Real Estate (Operations & Services) 748 -0.89% 8.56% 21.70% 3.92%
Recreation 326 2.76% 11.10% 22.10% -1.72%
Reinsurance 34 3.91% 8.34% 14.40% 7.75%
Restaurant/Dining 394 1.79% 9.59% 17.90% -1.88%
Retail (Automotive) 204 3.90% 11.70% 20.50% 0.07%
Retail (Building Supply) 120 -0.37% 5.28% 11.00% 1.67%
Retail (Distributors) 1,028 0.59% 8.29% 19.50% 0.00%
Retail (General) 256 -7.76% 2.54% 11.10% -0.92%
Retail (Grocery and Food) 201 -0.18% 4.82% 11.70% 1.45%
Retail (REITs) 123 1.35% 5.32% 12.00% 39.86%
Retail (Special Lines) 639 0.07% 7.21% 15.50% -0.96%
Rubber& Tires 89 5.02% 12.50% 17.40% 3.84%
Semiconductor 647 -2.73% 7.51% 20.80% -12.92%
Semiconductor Equip 367 0.83% 12.50% 25.40% 1.26%
Shipbuilding & Marine 348 4.88% 11.60% 19.00% 6.26%
Shoe 85 -2.05% 8.87% 19.70% -3.88%
Software (Entertainment) 317 0.90% 13.30% 25.60% -27.53%
Software (Internet) 151 3.43% 10.10% 28.50% -23.15%
Software (System & Application) 1,616 2.41% 11.10% 23.80% -37.20%
Steel 718 7.04% 14.50% 24.30% -0.28%
Telecom (Wireless) 98 1.77% 5.63% 11.90% 4.15%
Telecom. Equipment 453 -3.75% 4.79% 14.70% -10.44%
Telecom. Services 288 0.74% 6.36% 16.70% -0.02%
Tobacco 56 2.70% 6.13% 14.90% -0.58%
Transportation 814 0.33% 7.86% 17.30% -1.72%
Transportation (Railroads) 49 2.69% 6.24% 11.50% 7.29%
Trucking 106 -0.99% 5.91% 14.70% 2.32%
Utility (General) 50 6.36% 13.40% 20.00% 5.55%
Utility (Water) 102 0.16% 6.88% 13.10% 7.21%
Pre-tax Operating Margin Sales to Invested Capital Cost of Capital
Median Quartile Quartlie Median Quartile Quartlie Median
3.51% 9.87% 1.40 3.17 6.79 9.84% 10.52%
5.95% 12.21% 0.58 1.22 2.17 7.93% 8.59%
8.64% 15.36% 0.48 0.98 2.16 7.55% 8.08%
3.88% 9.13% 0.64 1.21 1.83 8.10% 9.62%
3.22% 8.52% 0.59 1.37 2.88 8.55% 9.36%
4.75% 8.73% 1.00 1.60 2.36 9.78% 10.35%
0.00% 0.00% 0.15 0.25 0.47 6.11% 7.04%
0.00% 0.12% 0.19 0.36 0.64 4.88% 5.07%
8.41% 19.28% 0.60 1.10 2.21 7.06% 7.76%
6.92% 12.48% 1.22 1.81 2.88 6.90% 7.47%
5.34% 12.28% 0.62 0.98 1.75 7.37% 7.71%
0.00% 0.00% 0.07 0.22 0.84 5.92% 6.73%
6.79% 12.24% 0.90 1.42 2.28 8.41% 8.97%
5.70% 12.01% 0.94 2.39 5.52 8.26% 8.99%
4.75% 21.13% 0.34 0.65 1.16 6.74% 7.19%
5.16% 10.98% 0.78 1.20 1.77 8.62% 8.91%
7.04% 13.50% 0.91 1.20 1.64 7.95% 8.42%
6.48% 13.21% 0.68 1.13 1.64 8.61% 9.05%
10.66% 23.83% 0.00 0.62 1.80 8.87% 9.05%
4.87% 9.93% 1.44 3.04 6.28 9.04% 9.41%
2.90% 9.31% 0.83 1.55 2.80 10.24% 10.62%
8.04% 13.71% 0.55 0.97 1.47 7.69% 8.86%
9.45% 18.01% 0.23 0.71 1.80 7.34% 8.12%
-242.15% -16.76% 0.00 0.17 0.74 9.11% 9.17%
5.28% 14.27% 0.41 0.86 1.41 7.95% 8.70%
8.15% 18.57% 0.40 1.02 2.32 7.50% 7.98%
4.97% 10.26% 0.79 1.41 2.21 9.46% 9.90%
3.04% 7.26% 1.06 1.74 2.78 9.11% 9.78%
4.06% 10.02% 0.70 1.20 1.93 10.31% 10.77%
4.30% 8.42% 0.77 1.64 3.01 7.82% 8.21%
1.02% 11.03% 0.47 1.08 2.54 8.61% 9.45%
5.65% 13.62% 0.38 1.00 2.30 7.58% 8.14%
5.40% 12.79% 0.48 0.95 1.81 6.89% 7.58%
0.00% 14.26% 0.09 0.25 1.03 5.02% 5.46%
5.01% 9.92% 0.94 1.54 2.36 7.13% 7.64%
2.48% 5.02% 1.34 3.29 6.58 6.44% 6.72%
5.43% 9.48% 1.03 1.53 2.28 8.83% 9.11%
23.03% 43.87% 0.13 0.21 0.42 6.69% 7.14%
0.00% 13.96% 0.51 0.96 1.60 8.64% 9.22%
3.63% 9.19% 1.02 1.99 4.40 7.64% 8.31%
-9.30% 11.32% 0.48 1.06 2.30 9.22% 9.31%
8.00% 14.76% 0.77 1.31 2.43 8.23% 8.70%
9.55% 17.27% 0.67 1.15 1.76 6.51% 7.10%
6.49% 17.51% 0.21 0.50 1.16 7.68% 8.16%
5.13% 11.17% 0.90 1.51 2.36 7.44% 7.68%
8.22% 12.82% 1.28 2.34 4.03 8.70% 9.58%
8.93% 17.63% 1.01 1.74 3.28 7.15% 7.50%
7.73% 14.93% 0.65 1.52 3.39 7.43% 8.19%
11.97% 19.98% 0.82 1.51 2.82 6.90% 8.23%
17.12% 57.78% 0.01 0.13 0.65 6.23% 6.45%
6.97% 12.32% 0.85 1.31 2.04 9.08% 9.53%
-1.53% 7.07% 0.00 0.00 0.55 8.40% 8.41%
2.12% 2.12%
6.09% 9.74% 0.92 1.58 2.49 7.72% 8.15%
13.34% 21.04% 1.22 1.71 2.18 8.16% 8.89%
15.92% 40.59% 0.06 0.47 0.89 8.24% 8.30%
12.21% 31.26% 0.35 0.71 1.66 6.64% 7.35%
4.24% 10.29% 0.74 1.71 3.45 7.53% 8.15%
6.74% 11.52% 1.01 1.40 1.91 7.08% 7.48%
3.80% 10.82% 0.58 1.01 1.61 7.17% 7.68%
10.19% 20.62% 0.40 0.70 1.30 6.08% 6.48%
-0.38% 16.23% 0.00 0.00 0.25 8.62% 8.64%
4.61% 10.58% 0.71 1.44 2.88 8.96% 9.39%
49.89% 66.00% 0.06 0.08 0.12 5.95% 6.32%
8.89% 20.43% 0.10 0.24 0.52 6.34% 6.95%
13.97% 31.26% 0.08 0.18 0.45 6.50% 6.85%
24.89% 55.89% 0.06 0.11 0.40 6.37% 6.90%
7.33% 15.30% 0.59 1.15 2.04 8.00% 8.58%
10.26% 15.73% 0.82 1.26 2.15 9.79% 10.78%
3.44% 8.53% 1.24 2.00 3.32 7.76% 8.39%
2.90% 5.67% 1.51 2.52 4.59 7.15% 7.68%
4.15% 11.29% 1.29 1.94 3.72 8.08% 8.86%
3.59% 8.94% 0.72 1.83 3.38 6.85% 7.23%
3.92% 8.69% 0.69 1.83 3.35 8.30% 8.94%
3.22% 4.98% 2.23 3.20 4.69 6.58% 6.79%
55.98% 67.74% 0.07 0.10 0.12 6.27% 6.64%
3.78% 8.82% 1.50 2.51 4.03 8.33% 9.03%
6.65% 9.71% 0.89 1.24 1.62 8.32% 9.16%
1.61% 11.02% 0.58 0.94 1.59 12.46% 12.86%
9.66% 18.47% 0.74 1.15 1.75 13.92% 14.32%
14.57% 26.24% 0.32 0.60 1.04 8.17% 8.70%
6.94% 10.72% 0.81 1.34 1.83 8.35% 8.68%
1.70% 14.16% 0.91 2.55 5.80 10.07% 10.86%
-1.94% 8.70% 0.55 1.52 2.90 9.64% 10.48%
-2.59% 9.61% 0.74 1.78 3.99 9.74% 10.53%
4.04% 9.83% 0.88 1.40 2.15 8.79% 9.38%
13.29% 19.47% 0.58 0.98 1.70 6.81% 7.45%
1.58% 9.34% 0.76 1.33 2.17 9.29% 10.21%
9.44% 19.53% 0.56 0.89 1.72 6.33% 6.88%
16.80% 31.42% 0.89 1.52 2.51 6.44% 7.36%
5.55% 12.87% 0.65 1.41 2.61 7.70% 8.37%
10.74% 20.48% 0.36 0.46 0.74 6.12% 6.42%
5.74% 9.05% 0.98 1.66 2.67 7.68% 8.29%
15.40% 20.72% 0.32 0.41 1.69 5.68% 5.92%
20.31% 27.60% 0.21 0.34 0.59 5.88% 6.23%
of Capital Beta Debt to Capital Ratio
Quartile eta) Quartlie Median Quartile
10.73% 0.64 1.20 1.83 0.87% 9.16% 28.11%
8.89% 0.51 0.93 1.42 1.18% 9.77% 23.57%
9.51% 0.78 1.24 1.68 15.36% 43.68% 62.65%
9.92% 0.31 0.79 1.30 5.96% 23.45% 51.26%
9.93% 0.85 1.39 1.82 1.28% 13.08% 37.92%
10.59% 0.83 1.23 1.70 4.63% 18.16% 42.00%
9.31% 0.26 0.84 1.32 24.82% 52.34% 71.97%
5.23% 0.21 0.44 0.76 13.92% 40.39% 64.86%
9.23% 0.33 0.71 1.08 0.16% 6.23% 25.91%
8.45% 0.23 0.60 0.96 0.69% 6.90% 31.84%
9.10% 0.51 1.02 1.51 4.10% 27.68% 58.27%
7.00% 0.35 0.91 1.45 0.72% 14.22% 53.53%
10.67% 0.50 0.97 1.46 5.63% 17.35% 37.13%
9.25% 0.52 0.99 1.46 1.30% 11.06% 30.57%
8.51% 0.63 1.08 1.35 3.42% 37.97% 64.62%
10.57% 0.62 1.05 1.49 2.78% 15.00% 36.32%
10.38% 0.70 1.13 1.37 11.53% 25.23% 45.02%
10.96% 0.56 0.98 1.42 2.29% 11.87% 28.12%
11.10% 0.37 0.94 1.58 0.01% 5.52% 26.18%
10.77% 0.56 1.00 1.45 1.05% 7.27% 22.47%
10.84% 0.81 1.21 1.71 1.75% 9.43% 26.59%
9.80% 0.43 0.91 1.35 3.42% 18.17% 38.83%
9.57% 0.40 0.92 1.44 5.20% 30.85% 58.82%
10.06% 0.64 1.11 1.64 0.35% 4.04% 16.69%
9.20% 0.47 0.85 1.32 0.61% 7.83% 25.70%
9.10% 0.26 0.77 1.23 1.82% 13.12% 38.60%
10.08% 0.59 1.08 1.61 1.76% 10.31% 27.00%
10.02% 0.72 1.18 1.75 2.68% 13.17% 33.92%
11.01% 0.75 1.25 1.79 1.53% 8.89% 22.89%
9.63% 0.52 0.97 1.46 3.99% 19.36% 47.41%
9.82% 0.52 1.02 1.66 0.18% 5.11% 26.08%
8.38% 0.50 0.89 1.32 3.07% 17.99% 39.19%
8.48% 0.26 0.69 1.24 1.93% 19.63% 43.01%
6.06% 0.36 0.85 1.39 2.09% 26.52% 61.34%
8.70% 0.27 0.65 1.09 4.14% 18.66% 41.45%
7.82% 0.21 0.65 1.20 2.30% 20.57% 41.49%
10.70% 0.47 0.90 1.43 2.65% 13.54% 34.19%
8.40% 0.34 0.89 1.33 11.98% 35.09% 55.96%
9.67% 0.63 1.02 1.52 0.67% 5.72% 18.08%
8.53% 0.44 0.78 1.35 2.63% 14.49% 36.41%
10.31% 0.77 1.15 1.70 0.40% 4.27% 16.23%
9.32% 0.65 1.05 1.50 12.24% 32.20% 59.81%
8.29% 0.33 0.78 1.19 3.01% 15.39% 37.26%
9.71% 0.36 0.90 1.50 2.79% 21.42% 49.77%
9.17% 0.31 0.67 1.21 1.14% 10.97% 25.81%
11.69% 0.57 1.09 1.62 0.65% 10.66% 29.78%
9.44% 0.18 0.66 1.14 0.13% 6.21% 27.06%
12.59% 0.43 0.85 1.36 0.59% 9.10% 42.73%
11.26% 0.36 0.66 0.99 0.09% 3.09% 15.48%
6.88% 0.13 0.59 1.18 0.00% 0.94% 10.41%
9.69% 0.60 1.02 1.46 1.59% 9.33% 24.58%
8.62% 0.56 1.04 1.54 0.00% 0.38% 11.35%
1.26 1.26 1.26 0.00% 0.00% 0.00%
9.57% 0.35 0.79 1.25 2.33% 10.58% 33.67%
11.20% 0.53 0.90 1.34 14.05% 29.93% 42.67%
8.98% 0.54 1.00 1.55 0.00% 8.25% 34.41%
8.47% 0.37 0.83 1.26 9.91% 33.50% 47.31%
9.46% 0.45 0.97 1.46 5.18% 23.35% 50.15%
8.70% 0.38 0.76 1.29 6.27% 21.71% 45.21%
9.06% 0.41 0.83 1.33 9.43% 27.33% 50.64%
7.58% 0.33 0.65 1.06 11.64% 38.68% 58.84%
8.64% 0.58 1.04 1.55 0.00% 0.45% 8.72%
11.17% 0.43 0.91 1.43 0.42% 5.97% 31.25%
7.36% 0.42 0.79 1.15 23.55% 41.43% 59.59%
7.42% 0.43 0.93 1.42 8.52% 41.00% 72.41%
7.97% 0.43 0.91 1.35 9.80% 42.45% 63.53%
7.60% 0.24 0.75 1.39 1.70% 32.31% 58.60%
8.90% 0.49 1.02 1.44 3.32% 15.63% 39.43%
11.95% 0.64 1.05 1.43 0.01% 15.21% 29.00%
8.63% 0.43 0.80 1.38 9.88% 23.57% 43.76%
9.26% 0.40 0.87 1.40 11.19% 36.86% 61.79%
10.44% 0.57 0.99 1.56 10.36% 29.87% 51.14%
8.40% 0.29 0.77 1.25 1.73% 15.92% 43.10%
9.29% 0.54 0.93 1.41 8.82% 26.51% 57.07%
7.31% 0.33 0.56 0.91 11.05% 29.02% 44.47%
7.54% 0.57 0.91 1.30 33.57% 44.40% 56.15%
9.46% 0.59 0.98 1.48 5.71% 22.20% 47.42%
10.50% 0.63 1.09 1.38 8.25% 23.08% 45.53%
13.00% 1.14 1.59 2.21 0.46% 5.12% 17.06%
14.70% 1.30 1.96 2.58 0.98% 6.54% 17.33%
10.49% 0.49 0.87 1.34 8.06% 25.47% 48.10%
10.58% 0.26 0.90 1.43 2.52% 13.15% 38.26%
11.47% 0.76 1.31 1.79 0.31% 4.13% 19.47%
10.97% 0.74 1.21 1.88 1.78% 8.80% 25.53%
11.06% 0.69 1.16 1.73 0.27% 2.94% 14.48%
11.40% 0.62 1.14 1.61 4.34% 23.37% 46.40%
8.75% 0.36 0.70 1.14 4.67% 22.71% 41.27%
10.45% 0.65 1.10 1.66 1.33% 8.84% 26.40%
8.09% 0.36 0.78 1.19 8.27% 22.75% 45.17%
9.36% 0.22 0.53 0.98 0.16% 6.72% 34.14%
9.57% 0.44 0.90 1.40 2.11% 15.51% 39.65%
6.65% 0.18 0.60 0.99 17.25% 42.71% 57.27%
10.21% 0.53 0.95 1.31 14.05% 26.57% 46.54%
6.43% 0.47 0.61 0.99 33.76% 45.99% 54.77%
6.68% 0.42 0.60 0.91 6.67% 32.34% 60.80%
If you are midway through a year, and want to compute updated trailing twelve month numbers, this
worksheet may help. You will need your most recent quartely financials (or 10Q) as well as your most recent
annual (or 10K).

Last Annual First X months: Last yearFirst X months: Current yearTrailing 12 month
Revenues $15,794.34 $7,608.13 $9,444.11 $17,630.32
Technology & Content $1,221.81 $581.41 $756.00 $1,396.40
Operating income or EBIT $1,605.23 $908.79 $1,165.50 $1,861.94
Interest expenses $420.49 $182.82 $287.56 $525.23
Book value of equity $5,238.77 $6,105.55
Book value of debt $10,360.00 $12,594.14
Do you have operating lease commitments?
Cash and cross holdings $3,794.48 $5,004.25
Non-operating assets $0.00 $0.00
Minority interests $0.00 $0.00
Number of shares outstanding =
Current stock price =
Effective tax rate = 25.88% 25.77% 16.49%
Marginal tax rate =
Lease commitments
Year 1 172.5 NA
Year 2 139.4 NA
Year 3 145.2 NA
Year 4 156.5 Copy into operating NA
Year 5 151.2 lease worksheet NA
Beyond year 5 943.63 NA

Current year's lease expense $ 107.00

$75,872.00
$2,404.00
 $24,171.00
$276.00

G&A 630.29 286.14 426.61 770.76

Marketing Costs 2369.47 1128.78 1219.73 2460.42
Content Costs 9967.54 4703.01 5876.21 11140.74

Content Costs (Cash Flows) 13043 6020.47 6322.85 13345.38

Yes/No Book or Market VaERP choices Cost of debt Synthetic rati Beta Rating is Region
Yes B Will input Direct input 1 Direct input Aaa/AAA First Decile
No V Country of incorporati Synthetic ratin 2 Single Business(US) Aa2/AA First Quartile
Operating countries Actual rating Single Business(GlobaA1/A+ Median
Operating regions Multibusiness(US) A2/A Third Quartil
Multibusiness(Global)A3/A- Ninth Decile
Baa2/BBB
Ba1/BB+
Ba2/BB
B1/B+
B2/B
B3/B-
C2/C
Ca2/CC
Caa/CCC
D2/D
Cost of Capital Approa Reinvestment lag
I will input 0
Detailed 1
Industry Average 2
Distribution 3