300479.SZ WACC - Weighted Average Cost of Capital
The WACC of Synthesis Electronic Technology Co Ltd (300479.SZ) is 10.6%.
| Range | Selected | |
| Cost of equity | 9.0% - 12.4% | 10.7% |
| Tax rate | 2.3% - 6.5% | 4.4% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 8.9% - 12.3% | 10.6% |
| Category | Low | High |
| Long-term bond rate | 2.7% | 3.2% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 1.03 | 1.23 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 9.0% | 12.4% |
| Tax rate | 2.3% | 6.5% |
| Debt/Equity ratio | 0.02 | 0.02 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 8.9% | 12.3% |
| Selected WACC | 10.6% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 300479.SZ | Synthesis Electronic Technology Co Ltd | 0.02 | 1.38 | 1.36 |
| 045390.KQ | Daea TI Co Ltd | 0.19 | 0.54 | 0.46 |
| 1708.HK | Nanjing Sample Technology Co Ltd | 2.79 | 0.92 | 0.25 |
| 2708.HK | IBO Technology Company Ltd | 1.37 | 1.3 | 0.56 |
| 300150.SZ | Beijing Century Real Technology Co Ltd | 0.04 | 1.46 | 1.4 |
| 300248.SZ | Newcapec Electronics Co Ltd | 0.02 | 1.32 | 1.29 |
| 300356.SZ | EleFirst Science & Technology Co Ltd | 0.3 | 1.77 | 1.37 |
| 300440.SZ | Chengdu Yunda Technology Co Ltd | 0.04 | 1.27 | 1.22 |
| 603015.SS | Ningbo Techmation Co Ltd | 0.11 | 0.82 | 0.74 |
| 603528.SS | DuoLun Technology Corporation Ltd | 0.01 | 1.53 | 1.52 |
| Low | High | |
| Unlevered beta | 1.03 | 1.32 |
| Relevered beta | 1.04 | 1.34 |
| Adjusted relevered beta | 1.03 | 1.23 |
300479.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 300479.SZ:
cost_of_equity (10.70%) = risk_free_rate (2.95%) + equity_risk_premium (6.60%) * adjusted_beta (1.03) + 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.