012170.KS WACC - Weighted Average Cost of Capital
The WACC of Kiwi Media Group Co Ltd (012170.KS) is 6.4%.
| Range | Selected | |
| Cost of equity | 5.6% - 7.3% | 6.45% |
| Tax rate | 25.0% - 25.0% | 25% |
| Cost of debt | 4.0% - 4.5% | 4.25% |
| WACC | 5.6% - 7.3% | 6.4% |
| Category | Low | High |
| Long-term bond rate | 3.1% | 3.6% |
| Equity market risk premium | 5.8% | 6.8% |
| Adjusted beta | 0.43 | 0.48 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 5.6% | 7.3% |
| Tax rate | 25.0% | 25.0% |
| Debt/Equity ratio | 0.02 | 0.02 |
| Cost of debt | 4.0% | 4.5% |
| After-tax WACC | 5.6% | 7.3% |
| Selected WACC | 6.4% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 012170.KS | Kiwi Media Group Co Ltd | 0.02 | 0.36 | 0.35 |
| 002420.KS | Century Co Ltd | 0.43 | -0.01 | -0.01 |
| 036420.KS | JContentree Corp | 6.35 | 0.93 | 0.16 |
| 051780.KQ | CuroHoldings Co Ltd | 2.21 | 0.72 | 0.27 |
| 066410.KQ | Bucket Studio Co Ltd | 0.53 | 0.63 | 0.45 |
| 079160.KS | CJ CGV Co Ltd | 3.24 | 0.47 | 0.14 |
| 253450.KQ | Studio Dragon Corp | 0 | 0.04 | 0.04 |
| 317530.KQ | CarrieSoft Co Ltd | 0.09 | 0.73 | 0.68 |
| 40E.SI | Spackman Entertainment Group Ltd | 1.08 | 0.34 | 0.19 |
| SW1.AX | Swift Media Ltd | 0.65 | 0.16 | 0.11 |
| Low | High | |
| Unlevered beta | 0.15 | 0.22 |
| Relevered beta | 0.15 | 0.22 |
| Adjusted relevered beta | 0.43 | 0.48 |
012170.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 012170.KS:
cost_of_equity (6.45%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (0.43) + 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.