530063.BO WACC - Weighted Average Cost of Capital

The WACC of Yashraj Containeurs Ltd (530063.BO) is 15.9%.

The Cost of Equity of Yashraj Containeurs Ltd (530063.BO) is 19.15%.

The Cost of Debt of Yashraj Containeurs Ltd (530063.BO) is 15.75%.

	Range	Selected
Cost of equity	13.90% - 24.40%	19.15%
Tax rate	0.40% - 1.90%	1.15%
Cost of debt	4.60% - 26.90%	15.75%
WACC	5.8% - 26.1%	15.9%

WACC

530063.BO WACC calculation

Category	Low	High

Long-term bond rate	6.9%	7.4%
Equity market risk premium	8.3%	9.3%
Adjusted beta	0.84	1.78

Additional risk adjustments	0.0%	0.5%
Cost of equity	13.90%	24.40%

Tax rate	0.40%	1.90%
Debt/Equity ratio	6.79	6.79
Cost of debt	4.60%	26.90%

After-tax WACC	5.8%	26.1%


Selected WACC	15.9%

530063.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 530063.BO:

cost_of_equity (19.15%) = risk_free_rate (7.15%) + equity_risk_premium (8.80%) * adjusted_beta (0.84) + 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.