531658.BO WACC - Weighted Average Cost of Capital
The WACC of Trijal Industries Ltd (531658.BO) is 14.7%.
| Range | Selected | |
| Cost of equity | 15.0% - 17.1% | 16.05% |
| Tax rate | 30.0% - 30.0% | 30% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 13.8% - 15.6% | 14.7% |
| Category | Low | High |
| Long-term bond rate | 6.9% | 7.4% |
| Equity market risk premium | 8.3% | 9.3% |
| Adjusted beta | 0.98 | 0.99 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 15.0% | 17.1% |
| Tax rate | 30.0% | 30.0% |
| Debt/Equity ratio | 0.12 | 0.12 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 13.8% | 15.6% |
| Selected WACC | 14.7% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 531658.BO | Trijal Industries Ltd | 0.12 | 1.02 | 0.94 |
| 511016.BO | Premier Capital Services Ltd | 0.02 | 1.05 | 1.04 |
| 511200.BO | Munoth Capital Market Ltd | 0 | 0.91 | 0.91 |
| 530249.BO | Bridge Securities Ltd | 0 | 0.89 | 0.89 |
| 531025.BO | Visagar Financial Services Ltd | 1.37 | 0.08 | 0.04 |
| 531176.BO | Mefcom Capital Markets Ltd | 0.01 | 0.18 | 0.18 |
| 531996.BO | Odyssey Corporation Ltd | 0.02 | 0.92 | 0.91 |
| 538708.BO | Econo Trade (India) Ltd | 2.16 | 1.28 | 0.51 |
| HBSL.NS | HB Stockholdings Ltd | 0.02 | 2.05 | 2.02 |
| Low | High | |
| Unlevered beta | 0.89 | 0.91 |
| Relevered beta | 0.97 | 0.99 |
| Adjusted relevered beta | 0.98 | 0.99 |
531658.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 531658.BO:
cost_of_equity (16.05%) = risk_free_rate (7.15%) + equity_risk_premium (8.80%) * adjusted_beta (0.98) + 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.