008500.KS
Iljeong Industrial Co Ltd
Price:  
12,800.00 
KRW
Volume:  
6,516.00
Korea, Republic of | Textiles, Apparel & Luxury Goods
Valuation
Overview
Financials
Forecast
Compare
Historical Price
SolvencyDividends
Transactions
People

008500.KS WACC - Weighted Average Cost of Capital

The WACC of Iljeong Industrial Co Ltd (008500.KS) is 6.0%.

The Cost of Equity of Iljeong Industrial Co Ltd (008500.KS) is 9.35%.
The Cost of Debt of Iljeong Industrial Co Ltd (008500.KS) is 4.40%.

Range Selected
Cost of equity 7.90% - 10.80% 9.35%
Tax rate 25.00% - 25.00% 25.00%
Cost of debt 4.00% - 4.80% 4.40%
WACC 5.2% - 6.9% 6.0%
WACC

008500.KS WACC calculation

Category Low High
Long-term bond rate 3.1% 3.6%
Equity market risk premium 5.8% 6.8%
Adjusted beta 0.82 0.99
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.90% 10.80%
Tax rate 25.00% 25.00%
Debt/Equity ratio 1.21 1.21
Cost of debt 4.00% 4.80%
After-tax WACC 5.2% 6.9%
Selected WACC 6.0%

008500.KS's CAPM model and how its cost of Equity is calculated

The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.

This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.

Here’s how we figure out the cost of equity for 008500.KS:

cost_of_equity (9.35%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (0.82) + risk_adjustments (0.25%)

We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.