The WACC of Gunosy Inc (6047.T) is 6.5%.
Range | Selected | |
Cost of equity | 8.1% - 12.1% | 10.1% |
Tax rate | 40.9% - 41.0% | 40.95% |
Cost of debt | 5.0% - 5.0% | 5% |
WACC | 5.5% - 7.5% | 6.5% |
Category | Low | High |
Long-term bond rate | 1.4% | 1.9% |
Equity market risk premium | 6.1% | 7.1% |
Adjusted beta | 1.09 | 1.37 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 8.1% | 12.1% |
Tax rate | 40.9% | 41.0% |
Debt/Equity ratio | 1 | 1 |
Cost of debt | 5.0% | 5.0% |
After-tax WACC | 5.5% | 7.5% |
Selected WACC | 6.5% | |
Debt/Equity | Unlevered | |||
Peers | Company Name | ratio | Beta | beta |
6047.T | Gunosy Inc | 1.09 | 1.22 | 0.74 |
3741.T | Systems Engineering Consultants Co Ltd | 0 | 1.02 | 1.02 |
3850.T | NTT Data Intramart Corp | 0 | 0.49 | 0.49 |
3917.T | iRidge Inc | 0.38 | 0.72 | 0.59 |
3919.T | PiPEDO HD Inc | 0.07 | 1.32 | 1.27 |
3921.T | NEOJAPAN Inc | 0 | 1 | 1 |
3992.T | Needs Well Inc | 0 | 1.4 | 1.39 |
4344.T | Sourcenext Corp | 0.25 | 1.09 | 0.95 |
4667.T | Aisan Technology Co Ltd | 0.04 | 0.77 | 0.75 |
4845.T | Scala Inc | 0.85 | 0.36 | 0.24 |
6172.T | Metaps Inc | 0.2 | 0.73 | 0.65 |
Low | High | |
Unlevered beta | 0.74 | 0.95 |
Relevered beta | 1.13 | 1.55 |
Adjusted relevered beta | 1.09 | 1.37 |
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 6047.T:
cost_of_equity (10.10%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (1.09) + 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.