536264.BO WACC - Weighted Average Cost of Capital
The WACC of Tiger Logistics (India) Ltd (536264.BO) is 15.6%.
| Range | Selected | |
| Cost of equity | 14.3% - 17.9% | 16.1% |
| Tax rate | 19.1% - 25.5% | 22.3% |
| Cost of debt | 7.5% - 7.5% | 7.5% |
| WACC | 13.8% - 17.3% | 15.6% |
| Category | Low | High |
| Long-term bond rate | 6.9% | 7.4% |
| Equity market risk premium | 8.3% | 9.3% |
| Adjusted beta | 0.89 | 1.08 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 14.3% | 17.9% |
| Tax rate | 19.1% | 25.5% |
| Debt/Equity ratio | 0.06 | 0.06 |
| Cost of debt | 7.5% | 7.5% |
| After-tax WACC | 13.8% | 17.3% |
| Selected WACC | 15.6% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 536264.BO | Tiger Logistics (India) Ltd | 0.06 | 1.36 | 1.3 |
| 520123.BO | ABC India Ltd | 0.41 | 0.86 | 0.66 |
| 523116.BO | Sanco Trans Ltd | 0.07 | 0.95 | 0.9 |
| 526622.BO | MFL India Ltd | 0.83 | -0.17 | -0.11 |
| ACCURACY.NS | Accuracy Shipping Ltd | 0.9 | 1.76 | 1.05 |
| ARSHIYA.NS | Arshiya Ltd | 28.24 | 1.55 | 0.07 |
| PATINTLOG.NS | Patel Integrated Logistics Ltd | 0.1 | 1.65 | 1.54 |
| SNOWMAN.NS | Snowman Logistics Ltd | 0.31 | 1.87 | 1.52 |
| SVLL.NS | Shree Vasu Logistics Ltd | 0.08 | 0.53 | 0.5 |
| TCIEXP.NS | TCI Express Ltd | 0 | 1.11 | 1.11 |
| Low | High | |
| Unlevered beta | 0.8 | 1.07 |
| Relevered beta | 0.84 | 1.12 |
| Adjusted relevered beta | 0.89 | 1.08 |
536264.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 536264.BO:
cost_of_equity (16.10%) = risk_free_rate (7.15%) + equity_risk_premium (8.80%) * adjusted_beta (0.89) + 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.