220180.KQ WACC - Weighted Average Cost of Capital
The WACC of HandySoft Inc (220180.KQ) is 7.8%.
| Range | Selected | |
| Cost of equity | 6.7% - 8.9% | 7.8% |
| Tax rate | 22.1% - 22.3% | 22.2% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 6.7% - 8.9% | 7.8% |
| Category | Low | High |
| Long-term bond rate | 3.1% | 3.6% |
| Equity market risk premium | 5.8% | 6.8% |
| Adjusted beta | 0.63 | 0.71 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.7% | 8.9% |
| Tax rate | 22.1% | 22.3% |
| Debt/Equity ratio | 0.01 | 0.01 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 6.7% | 8.9% |
| Selected WACC | 7.8% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 220180.KQ | HandySoft Inc | 0.01 | 0.58 | 0.57 |
| 042510.KQ | RaonSecure Co Ltd | 0.09 | 0.59 | 0.55 |
| 050960.KQ | Soosan INT Co Ltd | 0 | 0.51 | 0.51 |
| 131090.KQ | Secuve Co Ltd | 0 | 0.35 | 0.35 |
| 150900.KQ | Fasoo Co Ltd | 0.06 | 0.87 | 0.83 |
| 192250.KQ | Ksign Co Ltd | 1.01 | 0.61 | 0.34 |
| 205100.KQ | Exem Co Ltd | 0.02 | 0.99 | 0.98 |
| 222810.KQ | Midas AI Co Ltd | 0.33 | 0.18 | 0.14 |
| 258790.KQ | SoftCamp Co Ltd | 0.32 | -0.59 | -0.47 |
| 290270.KQ | Hunesion Co Ltd | 0.01 | 0.61 | 0.61 |
| Low | High | |
| Unlevered beta | 0.45 | 0.56 |
| Relevered beta | 0.45 | 0.57 |
| Adjusted relevered beta | 0.63 | 0.71 |
220180.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 220180.KQ:
cost_of_equity (7.80%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (0.63) + 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.