279600.KQ WACC - Weighted Average Cost of Capital
The WACC of MediaZen Inc (279600.KQ) is 7.1%.
| Range | Selected | |
| Cost of equity | 5.7% - 9.5% | 7.6% |
| Tax rate | 22.1% - 22.3% | 22.2% |
| Cost of debt | 4.0% - 7.0% | 5.5% |
| WACC | 5.4% - 8.9% | 7.1% |
| Category | Low | High |
| Long-term bond rate | 3.1% | 3.6% |
| Equity market risk premium | 5.8% | 6.8% |
| Adjusted beta | 0.45 | 0.79 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 5.7% | 9.5% |
| Tax rate | 22.1% | 22.3% |
| Debt/Equity ratio | 0.16 | 0.16 |
| Cost of debt | 4.0% | 7.0% |
| After-tax WACC | 5.4% | 8.9% |
| Selected WACC | 7.1% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 279600.KQ | MediaZen Inc | 0.2 | 0.21 | 0.18 |
| 041020.KQ | Infraware Inc | 0.09 | 1.42 | 1.33 |
| 045340.KQ | Total Soft Bank Ltd | 0 | 0.03 | 0.03 |
| 078000.KS | Telcoware Co Ltd | 0 | 0.13 | 0.13 |
| 100030.KQ | Mobileleader Co Ltd | 0.03 | 0.45 | 0.44 |
| 108860.KQ | Selvas AI Inc | 0.05 | 0.9 | 0.87 |
| 138580.KQ | BusinessOn Communication Co Ltd | 0.04 | -0.11 | -0.11 |
| 208640.KQ | Thumbage Co Ltd | 0.3 | -1.24 | -1.01 |
| 300080.KQ | Flitto Inc | 0.02 | 1.15 | 1.14 |
| 322180.KQ | Thira-Utech Co Ltd | 0.17 | 1.06 | 0.94 |
| Low | High | |
| Unlevered beta | 0.16 | 0.61 |
| Relevered beta | 0.18 | 0.69 |
| Adjusted relevered beta | 0.45 | 0.79 |
279600.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 279600.KQ:
cost_of_equity (7.60%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (0.45) + 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.