041190.KQ WACC - Weighted Average Cost of Capital
The WACC of Woori Technology Investment Co Ltd (041190.KQ) is 9.7%.
| Range | Selected | |
| Cost of equity | 8.2% - 11.2% | 9.7% |
| Tax rate | 21.3% - 21.7% | 21.5% |
| Cost of debt | 4.0% - 15.1% | 9.55% |
| WACC | 8.2% - 11.2% | 9.7% |
| Category | Low | High |
| Long-term bond rate | 3.1% | 3.6% |
| Equity market risk premium | 5.8% | 6.8% |
| Adjusted beta | 0.88 | 1.04 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 8.2% | 11.2% |
| Tax rate | 21.3% | 21.7% |
| Debt/Equity ratio | 0 | 0 |
| Cost of debt | 4.0% | 15.1% |
| After-tax WACC | 8.2% | 11.2% |
| Selected WACC | 9.7% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 041190.KQ | Woori Technology Investment Co Ltd | 0 | 0.59 | 0.58 |
| 019550.KQ | SBI Investment Korea Co Ltd | 0 | 0.73 | 0.73 |
| 021080.KQ | Atinum Investment Co Ltd | 0.01 | 0.71 | 0.7 |
| 027830.KQ | Daesung Private Equity Inc | 0 | 0.65 | 0.65 |
| 241520.KQ | DSC Investment Inc | 0.17 | 1.13 | 1 |
| 246690.KQ | TS Investment Corp | 0.02 | 1.34 | 1.31 |
| 289080.KQ | SV Investment Corp | 0.18 | 1 | 0.87 |
| 307930.KQ | Company K Partners Ltd | 0 | 1.15 | 1.14 |
| 600695.SS | Shanghai Greencourt Investment Group Co Ltd | 0.16 | 1.63 | 1.45 |
| PILANIINVS.NS | Pilani Investment And Industries Corporation Ltd | 0.32 | 1.69 | 1.35 |
| Low | High | |
| Unlevered beta | 0.82 | 1.05 |
| Relevered beta | 0.82 | 1.06 |
| Adjusted relevered beta | 0.88 | 1.04 |
041190.KQ'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 041190.KQ:
cost_of_equity (9.70%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (0.88) + 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.