515147.BO WACC - Weighted Average Cost of Capital

The WACC of Haldyn Glass Ltd (515147.BO) is 14.1%.

The Cost of Equity of Haldyn Glass Ltd (515147.BO) is 15.50%.

The Cost of Debt of Haldyn Glass Ltd (515147.BO) is 11.60%.

	Range	Selected
Cost of equity	13.60% - 17.40%	15.50%
Tax rate	26.70% - 29.40%	28.05%
Cost of debt	8.60% - 14.60%	11.60%
WACC	12.2% - 16.0%	14.1%

WACC

515147.BO WACC calculation

Category	Low	High

Long-term bond rate	6.9%	7.4%
Equity market risk premium	8.3%	9.3%
Adjusted beta	0.82	1.03

Additional risk adjustments	0.0%	0.5%
Cost of equity	13.60%	17.40%

Tax rate	26.70%	29.40%
Debt/Equity ratio	0.24	0.24
Cost of debt	8.60%	14.60%

After-tax WACC	12.2%	16.0%


Selected WACC	14.1%

515147.BO'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 515147.BO:

cost_of_equity (15.50%) = risk_free_rate (7.15%) + equity_risk_premium (8.80%) * 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.