064480.KQ
Bridgetec Corp
Price:  
5,200.00 
KRW
Volume:  
39,517.00
Korea, Republic of | IT Services
Valuation
Overview
Financials
Forecast
Compare
Historical Price
SolvencyDividends
Transactions
People

064480.KQ WACC - Weighted Average Cost of Capital

The WACC of Bridgetec Corp (064480.KQ) is 8.0%.

The Cost of Equity of Bridgetec Corp (064480.KQ) is 8.10%.
The Cost of Debt of Bridgetec Corp (064480.KQ) is 5.00%.

Range Selected
Cost of equity 6.80% - 9.40% 8.10%
Tax rate 14.50% - 21.60% 18.05%
Cost of debt 5.00% - 5.00% 5.00%
WACC 6.7% - 9.2% 8.0%
WACC

064480.KQ WACC calculation

Category Low High
Long-term bond rate 3.1% 3.6%
Equity market risk premium 5.8% 6.8%
Adjusted beta 0.64 0.79
Additional risk adjustments 0.0% 0.5%
Cost of equity 6.80% 9.40%
Tax rate 14.50% 21.60%
Debt/Equity ratio 0.04 0.04
Cost of debt 5.00% 5.00%
After-tax WACC 6.7% 9.2%
Selected WACC 8.0%

064480.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 064480.KQ:

cost_of_equity (8.10%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (0.64) + 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.