3844.T WACC - Weighted Average Cost of Capital
The WACC of Comture Corp (3844.T) is 7.3%.
| Range | Selected | |
| Cost of equity | 6.1% - 8.4% | 7.25% |
| Tax rate | 31.1% - 31.9% | 31.5% |
| Cost of debt | 4.0% - 4.5% | 4.25% |
| WACC | 6.1% - 8.4% | 7.3% |
| Category | Low | High |
| Long-term bond rate | 1.4% | 1.9% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.77 | 0.85 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.1% | 8.4% |
| Tax rate | 31.1% | 31.9% |
| Debt/Equity ratio | 0 | 0 |
| Cost of debt | 4.0% | 4.5% |
| After-tax WACC | 6.1% | 8.4% |
| Selected WACC | 7.3% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 3844.T | Comture Corp | 0 | 1.05 | 1.05 |
| 3657.T | Poletowin Pitcrew Holdings Inc | 0.5 | 1.1 | 0.81 |
| 3676.T | Digital Hearts Holdings Co Ltd | 0.23 | 1.08 | 0.93 |
| 3762.T | Techmatrix Corp | 0.06 | 0.74 | 0.71 |
| 3836.T | Avant Corp | 0 | 0.22 | 0.22 |
| 3983.T | Oro Co Ltd | 0.01 | 0.94 | 0.93 |
| 4053.T | Sun* Inc | 0.07 | 0.46 | 0.44 |
| 4427.T | EduLab Inc | 0.18 | 0.65 | 0.58 |
| 6947.T | Zuken Inc | 0.97 | 0.75 | 0.45 |
| 9640.T | Saison Information Systems Co Ltd | 0 | 0.27 | 0.27 |
| Low | High | |
| Unlevered beta | 0.53 | 0.75 |
| Relevered beta | 0.66 | 0.78 |
| Adjusted relevered beta | 0.77 | 0.85 |
3844.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 3844.T:
cost_of_equity (7.25%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (0.77) + 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.