300291.SZ WACC - Weighted Average Cost of Capital
The WACC of Beijing HualuBaina Film&Tv Co Ltd (300291.SZ) is 8.3%.
| Range | Selected | |
| Cost of equity | 6.0% - 10.7% | 8.35% |
| Tax rate | 5.9% - 7.9% | 6.9% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 6.0% - 10.7% | 8.3% |
| Category | Low | High |
| Long-term bond rate | 2.7% | 3.2% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.54 | 0.99 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.0% | 10.7% |
| Tax rate | 5.9% | 7.9% |
| Debt/Equity ratio | 0 | 0 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 6.0% | 10.7% |
| Selected WACC | 8.3% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 300291.SZ | Beijing HualuBaina Film&Tv Co Ltd | 0 | 1.62 | 1.62 |
| 000802.SZ | Beijing Jingxi Culture & Tourism Co Ltd | 0.14 | 0.98 | 0.86 |
| 1616.HK | Starrise Media Holdings Ltd | 1.53 | 0.05 | 0.02 |
| 1859.HK | China Bright Culture Group | 0.51 | 0.3 | 0.2 |
| 2100.HK | Baioo Family Interactive Ltd | 0.01 | 0.39 | 0.39 |
| 300336.SZ | Shanghai New Culture Media Group Co Ltd | 4.54 | -0.01 | 0 |
| 600088.SS | China Television Media Ltd | 0.02 | 1.23 | 1.21 |
| 600576.SS | Zhejiang Sunriver Culture Co Ltd | 0.1 | 1.26 | 1.15 |
| 601595.SS | Shanghai Film Co Ltd | 0.03 | 1.64 | 1.59 |
| 8368.HK | Creative China Holdings Ltd | 0.07 | 0.1 | 0.09 |
| Low | High | |
| Unlevered beta | 0.31 | 0.98 |
| Relevered beta | 0.31 | 0.99 |
| Adjusted relevered beta | 0.54 | 0.99 |
300291.SZ'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 300291.SZ:
cost_of_equity (8.35%) = risk_free_rate (2.95%) + equity_risk_premium (6.60%) * 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.