3224.T WACC - Weighted Average Cost of Capital
The WACC of General Oyster Inc (3224.T) is 6.1%.
| Range | Selected | |
| Cost of equity | 4.7% - 7.0% | 5.85% |
| Tax rate | 2.8% - 9.6% | 6.2% |
| Cost of debt | 4.0% - 13.2% | 8.6% |
| WACC | 4.6% - 7.6% | 6.1% |
| Category | Low | High |
| Long-term bond rate | 1.4% | 1.9% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.55 | 0.65 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 4.7% | 7.0% |
| Tax rate | 2.8% | 9.6% |
| Debt/Equity ratio | 0.13 | 0.13 |
| Cost of debt | 4.0% | 13.2% |
| After-tax WACC | 4.6% | 7.6% |
| Selected WACC | 6.1% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 3224.T | General Oyster Inc | 0.11 | 0.8 | 0.73 |
| 3067.T | Tokyo Ichiban Foods Co Ltd | 0.44 | 0.05 | 0.03 |
| 3133.T | Kaihan Co Ltd | 0.04 | 1.3 | 1.25 |
| 3223.T | SLD Entertainment Inc | 0.07 | 0.54 | 0.51 |
| 3370.T | Fujita Corporation Co Ltd | 2.03 | -0.19 | -0.07 |
| 3372.T | Kanmonkai Co Ltd | 0.43 | 0.36 | 0.25 |
| 7585.T | Kan-Nanmaru Corp | 0.45 | 0.78 | 0.55 |
| 7625.T | Global-Dining Inc | 0.79 | 0.51 | 0.29 |
| 7674.T | Natty Swanky Co Ltd | 0.11 | 0.31 | 0.28 |
| 7682.T | Hamayuu Co Ltd | 0.19 | 0.43 | 0.36 |
| Low | High | |
| Unlevered beta | 0.28 | 0.42 |
| Relevered beta | 0.33 | 0.48 |
| Adjusted relevered beta | 0.55 | 0.65 |
3224.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 3224.T:
cost_of_equity (5.85%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (0.55) + 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.