535621.BO WACC - Weighted Average Cost of Capital
The WACC of S V Global Mill Ltd (535621.BO) is 11.2%.
| Range | Selected | |
| Cost of equity | 9.8% - 12.5% | 11.15% |
| Tax rate | 30.0% - 30.0% | 30% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 9.8% - 12.5% | 11.2% |
| Category | Low | High |
| Long-term bond rate | 6.9% | 7.4% |
| Equity market risk premium | 8.3% | 9.3% |
| Adjusted beta | 0.36 | 0.5 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 9.8% | 12.5% |
| Tax rate | 30.0% | 30.0% |
| Debt/Equity ratio | 0 | 0 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 9.8% | 12.5% |
| Selected WACC | 11.2% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 535621.BO | S V Global Mill Ltd | 0 | 0.99 | 0.99 |
| 503127.BO | Raja Bahadur International Ltd | 1.81 | -1.06 | -0.47 |
| 511714.BO | Nimbus Projects Ltd | 0.02 | 0.09 | 0.09 |
| 526654.BO | Thakkers Developers Ltd | 0.13 | -0.44 | -0.41 |
| 530821.BO | SSPDL Ltd | 1.84 | 0.05 | 0.02 |
| 531909.BO | Swagruha Infrastructure Ltd | 0 | 0.05 | 0.05 |
| 540796.BO | Ratnabhumi Developers Ltd | 1.52 | -0.33 | -0.16 |
| AMJLAND.NS | AMJ Land Holdings Ltd | 0.02 | 1.11 | 1.09 |
| BHAGYAPROP.NS | Bhagyanagar Properties Ltd | 0.16 | 0.54 | 0.49 |
| SHRADHA.NS | Shradha Infraprojects Ltd | 0.48 | 1.54 | 1.15 |
| Low | High | |
| Unlevered beta | 0.04 | 0.25 |
| Relevered beta | 0.04 | 0.25 |
| Adjusted relevered beta | 0.36 | 0.5 |
535621.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 535621.BO:
cost_of_equity (11.15%) = risk_free_rate (7.15%) + equity_risk_premium (8.80%) * adjusted_beta (0.36) + 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.