070590.KQ WACC - Weighted Average Cost of Capital
The WACC of Hansol Inticube Co Ltd (070590.KQ) is 8.7%.
| Range | Selected | |
| Cost of equity | 7.5% - 10.1% | 8.8% |
| Tax rate | 5.3% - 19.2% | 12.25% |
| Cost of debt | 7.0% - 8.2% | 7.6% |
| WACC | 7.4% - 10.0% | 8.7% |
| Category | Low | High |
| Long-term bond rate | 3.1% | 3.6% |
| Equity market risk premium | 5.8% | 6.8% |
| Adjusted beta | 0.75 | 0.88 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 7.5% | 10.1% |
| Tax rate | 5.3% | 19.2% |
| Debt/Equity ratio | 0.04 | 0.04 |
| Cost of debt | 7.0% | 8.2% |
| After-tax WACC | 7.4% | 10.0% |
| Selected WACC | 8.7% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 070590.KQ | Hansol Inticube Co Ltd | 0.04 | 0.56 | 0.54 |
| 029480.KQ | Lix Solution Co Ltd | 0.28 | 1.39 | 1.1 |
| 030790.KS | BK Tops Co Ltd | 1.16 | -0.27 | -0.13 |
| 052460.KQ | Icraft Co Ltd | 0.38 | 1.12 | 0.83 |
| 053980.KQ | Osangjaiel Co Ltd | 0 | 0.83 | 0.83 |
| 064480.KQ | Bridgetec Corp | 0.04 | 0.8 | 0.77 |
| 115500.KQ | Korea Computer & Systems Inc | 0 | 1.17 | 1.16 |
| 1402.HK | i-CONTROL Holdings Ltd | 0.08 | -0.17 | -0.16 |
| 242040.KQ | Namu Tech Co Ltd | 0.43 | 0.82 | 0.59 |
| 4398.T | BroadBand Security Inc | 0.09 | 0.67 | 0.62 |
| Low | High | |
| Unlevered beta | 0.61 | 0.79 |
| Relevered beta | 0.63 | 0.82 |
| Adjusted relevered beta | 0.75 | 0.88 |
070590.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 070590.KQ:
cost_of_equity (8.80%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (0.75) + 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.