101330.KQ WACC - Weighted Average Cost of Capital

The WACC of Mobase Co Ltd (101330.KQ) is 7.6%.

The Cost of Equity of Mobase Co Ltd (101330.KQ) is 20.50%.

The Cost of Debt of Mobase Co Ltd (101330.KQ) is 5.80%.

	Range	Selected
Cost of equity	16.00% - 25.00%	20.50%
Tax rate	27.40% - 28.30%	27.85%
Cost of debt	4.90% - 6.70%	5.80%
WACC	6.2% - 9.1%	7.6%

WACC

101330.KQ WACC calculation

Category	Low	High

Long-term bond rate	3.1%	3.6%
Equity market risk premium	5.8%	6.8%
Adjusted beta	2.22	3.07

Additional risk adjustments	0.0%	0.5%
Cost of equity	16.00%	25.00%

Tax rate	27.40%	28.30%
Debt/Equity ratio	3.72	3.72
Cost of debt	4.90%	6.70%

After-tax WACC	6.2%	9.1%


Selected WACC	7.6%

101330.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 101330.KQ:

cost_of_equity (20.50%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (2.22) + 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.