3083.T
C'sMEN Co Ltd
Price:  
904 
JPY
Volume:  
268,200
Japan | Specialty Retail

3083.T WACC - Weighted Average Cost of Capital

The WACC of C'sMEN Co Ltd (3083.T) is 6.9%.

The Cost of Equity of C'sMEN Co Ltd (3083.T) is 7.15%.
The Cost of Debt of C'sMEN Co Ltd (3083.T) is 6.1%.

RangeSelected
Cost of equity5.4% - 8.9%7.15%
Tax rate10.9% - 13.4%12.15%
Cost of debt5.2% - 7.0%6.1%
WACC5.3% - 8.5%6.9%
WACC

3083.T WACC calculation

CategoryLowHigh
Long-term bond rate1.4%1.9%
Equity market risk premium6.1%7.1%
Adjusted beta0.410.7
Additional risk adjustments1.5%2.0%
Cost of equity5.4%8.9%
Tax rate10.9%13.4%
Debt/Equity ratio
0.170.17
Cost of debt5.2%7.0%
After-tax WACC5.3%8.5%
Selected WACC6.9%

3083.T'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 3083.T:

cost_of_equity (7.15%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (0.41) + risk_adjustments (1.75%)

We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.