3908.T WACC - Weighted Average Cost of Capital
The WACC of Collabos Corp (3908.T) is 7.0%.
| Range | Selected | |
| Cost of equity | 6.4% - 8.8% | 7.6% |
| Tax rate | 11.0% - 18.1% | 14.55% |
| Cost of debt | 4.0% - 4.5% | 4.25% |
| WACC | 6.0% - 8.0% | 7.0% |
| Category | Low | High |
| Long-term bond rate | 1.4% | 1.9% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.82 | 0.9 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.4% | 8.8% |
| Tax rate | 11.0% | 18.1% |
| Debt/Equity ratio | 0.18 | 0.18 |
| Cost of debt | 4.0% | 4.5% |
| After-tax WACC | 6.0% | 8.0% |
| Selected WACC | 7.0% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 3908.T | Collabos Corp | 0.18 | 0.47 | 0.41 |
| 2351.T | ASJ Inc | 0.29 | 0.6 | 0.49 |
| 3042.T | SecuAvail Inc | 0 | 0.71 | 0.71 |
| 3803.T | Image Information Inc | 0 | 0.64 | 0.64 |
| 3914.T | Jig-Saw Inc | 0.03 | 1.01 | 0.99 |
| 3915.T | TerraSky Co Ltd | 0.01 | 1.33 | 1.32 |
| 3960.T | Valuedesign Inc | 0.15 | 0.99 | 0.87 |
| 4814.T | Nextware Ltd | 0 | 0.61 | 0.61 |
| 7078.T | INCLUSIVE Inc | 0.14 | 0.87 | 0.78 |
| 7093.T | Adish Co Ltd | 0.45 | -0.3 | -0.22 |
| Low | High | |
| Unlevered beta | 0.63 | 0.73 |
| Relevered beta | 0.73 | 0.85 |
| Adjusted relevered beta | 0.82 | 0.9 |
3908.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 3908.T:
cost_of_equity (7.60%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (0.82) + 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.