Facebook, Inc. (FB) Nasdaqos. NasdaqGs Real Time Price Currency in USD Add to watchlist 261.66 -1.45 (-0.55%) As of 12:29PM EST, Market open Advertisement Start Trading >> Plus500 T6.4% of metal CFD accounts lose money Summary Company Outlook Chart Conversations Statistics Historical Data Profile Financials Analysis Options Previous Close 263.11 Market Cap 745.123B 10 5D 1M6M YTD 1Y SY Max Full screen 27200 Open 264.60 1.30 Beta (5Y Monthly) PE Ratio (TTM) Bid 261.96 x 900 29.80 260.00 Ask 261.90 x 900 EPS (TTM) 8.78 Day's Range 261.33.270.47 Earnings Date 26.11 Jan 26, 2021 Jan 31, 2021 N/A (N/A) 26151 52 Week Range 137.10-304.67 Forward Dividend & Yield Volume 13,081,432 Ex-Dividend Date N/A 10 AM 12 PM Avg Volume 02 PM Trade prices are not sured from 23.867.229 1y Target Est 311.15 Near Fair Value Fair value XX.XX 26. Return View details Related Research Weekly Stock tist Analyst Report Facebook, Inc View more Chart Events Harith Momentum Performance Outlook Short Mid Term WOW W tong Term View all patterns 1. How does our DCF formula differ from the one used in the Credit Suisse analysis? 2. Why is the Equity Value of Facebook greater than the Enterprise Value? Note that Net Debt is added to Enterprise Value to determine Equity value in both the Credit Suisse report and the spreadsheet. 3. Note that Credit Suisse and the spreadsheet both used 10.5% for a WACC (Discount Rate) here. Assuming a risk free rate of 1% and an Equity Risk Premium of 6%, using the CAPM formula from chapter 12, what would the cost of equity be? Note that Facebook has no debt. 4. Noting the above, if you were to change the WACC, what would you change it to and would this raise or lower the projected value of a share of Facebook? (You need not tell me what the new value would be, just whether it goes up or down). 5. Using a Comps analysis based on P/E Ratio, what would using comps of Alphabet (Google) and Adobe determine for a value for Facebook? Please use the below stock quotes to determine. AutoSave Case 4 Facebook Spree Home Insert Draw Page Layout Formulas Data Review View 11 - A A Currency Calibri (Bodyl BTU x x Wrap Tour Meron Center Paste , $ % G18 A C G H 2021 2022 2023 2024 2025 2026 49,146 19.014) 60,950 111,060) 29,797 (11,710) 87,668 (16,5331 102.570 (19,517) 118.004 (22,636) 1 Finance 310 Conway Tacebook DCF Analysis 2 3 YAN 4 5 TDA 6-DA 7 8 EBIT 19.0% 10 BUAT 11 12 Add Back DA 1 Add ac Non Cape 14 Take Away 15 Takaway Change in NWC 40,131 0.625 82,506 49,890 9.479) 40,411 60.007 (11.417) 4670 71,135 (13,516) 52.611 83,053 05.780) 67.273 95,372 118.121) 22.250 9,014 7,420 20,595) (1.100) 11.060 907 01.7561 13871 13,710 10,000 (23,352) 11.035) 16,53) 12.724 04109 11.10 19,517 14.99 25,031) (1.288) 22.636 16.702 127. 156) 11,163) 27,239 37 104 R42 60,897 1055 74,070 TO15061 17 Cash Flow 15 Terminal Velve 19 20 W.ACCIDO Pacto 21 22 PVN DSN 132 122 1.15 1:49 1.65 24,650 30.361 16,700 40,846 67.849 24 Tartu 105,505 26 Net Det 692466 sity 195.972 Shuning 2.311 5 307.75 13 Facebook Anis DC MacBook Air Facebook, Inc. (FB) Nasdaqos. NasdaqGs Real Time Price Currency in USD Add to watchlist 261.66 -1.45 (-0.55%) As of 12:29PM EST, Market open Advertisement Start Trading >> Plus500 T6.4% of metal CFD accounts lose money Summary Company Outlook Chart Conversations Statistics Historical Data Profile Financials Analysis Options Previous Close 263.11 Market Cap 745.123B 10 5D 1M6M YTD 1Y SY Max Full screen 27200 Open 264.60 1.30 Beta (5Y Monthly) PE Ratio (TTM) Bid 261.96 x 900 29.80 260.00 Ask 261.90 x 900 EPS (TTM) 8.78 Day's Range 261.33.270.47 Earnings Date 26.11 Jan 26, 2021 Jan 31, 2021 N/A (N/A) 26151 52 Week Range 137.10-304.67 Forward Dividend & Yield Volume 13,081,432 Ex-Dividend Date N/A 10 AM 12 PM Avg Volume 02 PM Trade prices are not sured from 23.867.229 1y Target Est 311.15 Near Fair Value Fair value XX.XX 26. Return View details Related Research Weekly Stock tist Analyst Report Facebook, Inc View more Chart Events Harith Momentum Performance Outlook Short Mid Term WOW W tong Term View all patterns 1. How does our DCF formula differ from the one used in the Credit Suisse analysis? 2. Why is the Equity Value of Facebook greater than the Enterprise Value? Note that Net Debt is added to Enterprise Value to determine Equity value in both the Credit Suisse report and the spreadsheet. 3. Note that Credit Suisse and the spreadsheet both used 10.5% for a WACC (Discount Rate) here. Assuming a risk free rate of 1% and an Equity Risk Premium of 6%, using the CAPM formula from chapter 12, what would the cost of equity be? Note that Facebook has no debt. 4. Noting the above, if you were to change the WACC, what would you change it to and would this raise or lower the projected value of a share of Facebook? (You need not tell me what the new value would be, just whether it goes up or down). 5. Using a Comps analysis based on P/E Ratio, what would using comps of Alphabet (Google) and Adobe determine for a value for Facebook? Please use the below stock quotes to determine. AutoSave Case 4 Facebook Spree Home Insert Draw Page Layout Formulas Data Review View 11 - A A Currency Calibri (Bodyl BTU x x Wrap Tour Meron Center Paste , $ % G18 A C G H 2021 2022 2023 2024 2025 2026 49,146 19.014) 60,950 111,060) 29,797 (11,710) 87,668 (16,5331 102.570 (19,517) 118.004 (22,636) 1 Finance 310 Conway Tacebook DCF Analysis 2 3 YAN 4 5 TDA 6-DA 7 8 EBIT 19.0% 10 BUAT 11 12 Add Back DA 1 Add ac Non Cape 14 Take Away 15 Takaway Change in NWC 40,131 0.625 82,506 49,890 9.479) 40,411 60.007 (11.417) 4670 71,135 (13,516) 52.611 83,053 05.780) 67.273 95,372 118.121) 22.250 9,014 7,420 20,595) (1.100) 11.060 907 01.7561 13871 13,710 10,000 (23,352) 11.035) 16,53) 12.724 04109 11.10 19,517 14.99 25,031) (1.288) 22.636 16.702 127. 156) 11,163) 27,239 37 104 R42 60,897 1055 74,070 TO15061 17 Cash Flow 15 Terminal Velve 19 20 W.ACCIDO Pacto 21 22 PVN DSN 132 122 1.15 1:49 1.65 24,650 30.361 16,700 40,846 67.849 24 Tartu 105,505 26 Net Det 692466 sity 195.972 Shuning 2.311 5 307.75 13 Facebook Anis DC MacBook Air
