3264.T WACC - Weighted Average Cost of Capital
The WACC of Ascot Corp (3264.T) is 4.2%.
| Range | Selected | |
| Cost of equity | 4.3% - 7.2% | 5.75% |
| Tax rate | 26.8% - 32.5% | 29.65% |
| Cost of debt | 4.0% - 4.5% | 4.25% |
| WACC | 3.5% - 4.8% | 4.2% |
| Category | Low | High |
| Long-term bond rate | 1.4% | 1.9% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.48 | 0.67 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 4.3% | 7.2% |
| Tax rate | 26.8% | 32.5% |
| Debt/Equity ratio | 1.38 | 1.38 |
| Cost of debt | 4.0% | 4.5% |
| After-tax WACC | 3.5% | 4.8% |
| Selected WACC | 4.2% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 3264.T | Ascot Corp | 1.38 | 0.6 | 0.31 |
| 3238.T | Central General Development Co Ltd | 5.35 | 0.38 | 0.08 |
| 3242.T | Urbanet Corporation Co Ltd | 1.85 | 0.27 | 0.12 |
| 3469.T | Dualtap Co Ltd | 0.86 | 0.07 | 0.05 |
| 3489.T | FaithNetwork Co Ltd | 0.8 | 0.9 | 0.58 |
| 3528.T | Prospect Co Ltd | 0.59 | 1.26 | 0.9 |
| 5280.T | Yoshicon Co Ltd | 0.51 | 0.62 | 0.46 |
| 8903.T | Sunwood Corp | 3.63 | 0.06 | 0.02 |
| 8908.T | Mainichi Comnet Co Ltd | 0.89 | 0.38 | 0.24 |
| 8928.T | Anabuki Kosan Inc | 2.93 | 0.34 | 0.11 |
| Low | High | |
| Unlevered beta | 0.12 | 0.26 |
| Relevered beta | 0.22 | 0.51 |
| Adjusted relevered beta | 0.48 | 0.67 |
3264.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 3264.T:
cost_of_equity (5.75%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (0.48) + 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.