083660.KQ WACC - Weighted Average Cost of Capital
The WACC of CSA Cosmic Co Ltd (083660.KQ) is 7.5%.
| Range | Selected | |
| Cost of equity | 6.2% - 9.1% | 7.65% |
| Tax rate | 3.7% - 6.5% | 5.1% |
| Cost of debt | 4.9% - 7.0% | 5.95% |
| WACC | 6.1% - 8.9% | 7.5% |
| Category | Low | High |
| Long-term bond rate | 3.1% | 3.6% |
| Equity market risk premium | 5.8% | 6.8% |
| Adjusted beta | 0.54 | 0.74 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.2% | 9.1% |
| Tax rate | 3.7% | 6.5% |
| Debt/Equity ratio | 0.08 | 0.08 |
| Cost of debt | 4.9% | 7.0% |
| After-tax WACC | 6.1% | 8.9% |
| Selected WACC | 7.5% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 083660.KQ | CSA Cosmic Co Ltd | 0.08 | 0.9 | 0.83 |
| 001560.KS | Cheil Grinding Wheel Ind Co Ltd | 0 | 0.11 | 0.11 |
| 008470.KQ | Booster Co Ltd | 0.05 | 0.18 | 0.18 |
| 039610.KQ | HS Valve Co Ltd | 0.23 | 0.87 | 0.72 |
| 043340.KQ | Essen Tech Co Ltd | 0.78 | 0.42 | 0.24 |
| 049430.KQ | Komelon Corp | 0 | 1.02 | 1.02 |
| 054540.KQ | Samyoung M Tek Co Ltd | 0.27 | 0.4 | 0.32 |
| 096350.KQ | Daechang Solution Co Ltd | 0.9 | 0.87 | 0.47 |
| 141070.KQ | Maxrotec Co Ltd | 7.56 | -0.15 | -0.02 |
| 217820.KQ | NS Co Ltd | 1.09 | 1.83 | 0.9 |
| Low | High | |
| Unlevered beta | 0.29 | 0.57 |
| Relevered beta | 0.31 | 0.61 |
| Adjusted relevered beta | 0.54 | 0.74 |
083660.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 083660.KQ:
cost_of_equity (7.65%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (0.54) + 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.