263860.KQ WACC - Weighted Average Cost of Capital
The WACC of Genians Inc (263860.KQ) is 8.6%.
| Range | Selected | |
| Cost of equity | 7.0% - 10.3% | 8.65% |
| Tax rate | 7.0% - 11.0% | 9% |
| Cost of debt | 4.0% - 5.6% | 4.8% |
| WACC | 7.0% - 10.2% | 8.6% |
| Category | Low | High |
| Long-term bond rate | 3.1% | 3.6% |
| Equity market risk premium | 5.8% | 6.8% |
| Adjusted beta | 0.68 | 0.91 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 7.0% | 10.3% |
| Tax rate | 7.0% | 11.0% |
| Debt/Equity ratio | 0.01 | 0.01 |
| Cost of debt | 4.0% | 5.6% |
| After-tax WACC | 7.0% | 10.2% |
| Selected WACC | 8.6% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 263860.KQ | Genians Inc | 0.01 | 0.24 | 0.24 |
| 012510.KS | Duzon Bizon Co Ltd | 0.18 | 0.28 | 0.24 |
| 067920.KQ | Igloo Security Inc | 0.03 | 0.3 | 0.29 |
| 131090.KQ | Secuve Co Ltd | 0 | 0.37 | 0.37 |
| 150900.KQ | Fasoo Co Ltd | 0.06 | 0.88 | 0.84 |
| 197140.KQ | Digicap Co Ltd | 0.03 | 0.64 | 0.62 |
| 213090.KQ | Mirae Technology Co Ltd | 0.06 | 0.94 | 0.89 |
| 4288.T | Asgent Inc | 0.2 | 2 | 1.68 |
| ORION.KL | Orion lXL Bhd | 0.02 | 1.72 | 1.69 |
| REXIT.KL | Rexit Bhd | 0.07 | 0.94 | 0.89 |
| Low | High | |
| Unlevered beta | 0.52 | 0.86 |
| Relevered beta | 0.52 | 0.87 |
| Adjusted relevered beta | 0.68 | 0.91 |
263860.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 263860.KQ:
cost_of_equity (8.65%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (0.68) + 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.