3376.T WACC - Weighted Average Cost of Capital
The WACC of Only Corp (3376.T) is 6.4%.
| Range | Selected | |
| Cost of equity | 4.7% - 7.3% | 6% |
| Tax rate | 34.9% - 38.1% | 36.5% |
| Cost of debt | 4.0% - 22.0% | 13% |
| WACC | 4.2% - 8.5% | 6.4% |
| Category | Low | High |
| Long-term bond rate | 0.8% | 1.2% |
| Equity market risk premium | 5.4% | 6.4% |
| Adjusted beta | 0.72 | 0.86 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 4.7% | 7.3% |
| Tax rate | 34.9% | 38.1% |
| Debt/Equity ratio | 0.25 | 0.25 |
| Cost of debt | 4.0% | 22.0% |
| After-tax WACC | 4.2% | 8.5% |
| Selected WACC | 6.4% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 3376.T | Only Corp | 0.25 | 0.47 | 0.4 |
| 3045.T | Kawasaki & Co Ltd | 0.44 | 0.3 | 0.23 |
| 3529.T | Atsugi Co Ltd | 0.05 | 0.32 | 0.31 |
| 3598.T | Yamaki Co Ltd | 1.84 | 0.4 | 0.18 |
| 7771.T | Nihon Seimitsu Co Ltd | 1.45 | 0.68 | 0.35 |
| 7878.T | Kohsai Co Ltd | 0.69 | 0.99 | 0.68 |
| 8011.T | Sanyo Shokai Ltd | 0.21 | 0.69 | 0.61 |
| 8107.T | Kimuratan Corp | 0.62 | 1.41 | 1 |
| 8127.T | Yamato International Inc | 0.1 | 0.53 | 0.5 |
| 8143.T | Lapine Co Ltd | 2.47 | 0.9 | 0.34 |
| Low | High | |
| Unlevered beta | 0.35 | 0.44 |
| Relevered beta | 0.58 | 0.79 |
| Adjusted relevered beta | 0.72 | 0.86 |
3376.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 3376.T:
cost_of_equity (6.00%) = risk_free_rate (1.00%) + equity_risk_premium (5.90%) * adjusted_beta (0.72) + 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.