3779.T WACC - Weighted Average Cost of Capital
The WACC of J Escom Holdings Inc (3779.T) is 6.3%.
| Range | Selected | |
| Cost of equity | 5.2% - 9.1% | 7.15% |
| Tax rate | 31.3% - 40.5% | 35.9% |
| Cost of debt | 4.0% - 4.5% | 4.25% |
| WACC | 4.7% - 7.8% | 6.3% |
| Category | Low | High |
| Long-term bond rate | 1.4% | 1.9% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.63 | 0.94 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 5.2% | 9.1% |
| Tax rate | 31.3% | 40.5% |
| Debt/Equity ratio | 0.25 | 0.25 |
| Cost of debt | 4.0% | 4.5% |
| After-tax WACC | 4.7% | 7.8% |
| Selected WACC | 6.3% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 3779.T | J Escom Holdings Inc | 0.25 | 0.88 | 0.77 |
| 2652.T | Mandarake Inc | 0.49 | 0.63 | 0.49 |
| 7506.T | House of Rose Co Ltd | 0.01 | 0.08 | 0.08 |
| 7523.T | Art Vivant Co Ltd | 1.24 | 0.39 | 0.22 |
| 7610.T | Tay Two Co Ltd | 0.39 | 1.01 | 0.82 |
| 8136.T | Sanrio Co Ltd | 0.02 | 0.95 | 0.94 |
| 9263.T | Visionaryholdings Co Ltd | 0.7 | 1.38 | 0.97 |
| 9854.T | Aigan Co Ltd | 0.97 | 0.1 | 0.07 |
| 9904.T | Verite Co Ltd | 0.15 | 0.15 | 0.14 |
| 9966.T | Fujikyu Corp | 0.01 | 0.97 | 0.96 |
| Low | High | |
| Unlevered beta | 0.38 | 0.79 |
| Relevered beta | 0.45 | 0.91 |
| Adjusted relevered beta | 0.63 | 0.94 |
3779.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 3779.T:
cost_of_equity (7.15%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (0.63) + 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.