6579.T WACC - Weighted Average Cost of Capital
The WACC of logly Inc (6579.T) is 8.0%.
| Range | Selected | |
| Cost of equity | 7.7% - 10.5% | 9.1% |
| Tax rate | 27.7% - 30.6% | 29.15% |
| Cost of debt | 4.0% - 7.0% | 5.5% |
| WACC | 6.7% - 9.3% | 8.0% |
| Category | Low | High |
| Long-term bond rate | 1.4% | 1.9% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 1.03 | 1.14 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 7.7% | 10.5% |
| Tax rate | 27.7% | 30.6% |
| Debt/Equity ratio | 0.28 | 0.28 |
| Cost of debt | 4.0% | 7.0% |
| After-tax WACC | 6.7% | 9.3% |
| Selected WACC | 8.0% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 6579.T | logly Inc | 0.28 | 0.61 | 0.51 |
| 2345.T | Kushim Inc | 0.29 | 1.28 | 1.06 |
| 2352.T | Azia Co Ltd | 0.26 | 1.39 | 1.18 |
| 3653.T | Morpho Inc | 0 | 1.24 | 1.24 |
| 3710.T | Jorudan Co Ltd | 0 | 0.02 | 0.02 |
| 3727.T | Aplix Corp | 0.16 | 0.98 | 0.88 |
| 3747.T | Intertrade Co Ltd | 0.09 | 0.93 | 0.88 |
| 3858.T | Ubiquitous AI Corp | 0.07 | 1.03 | 0.98 |
| 3910.T | MKSystem Corp | 0.68 | 0.44 | 0.3 |
| 4476.T | AI Cross Inc | 0 | 1.76 | 1.76 |
| Low | High | |
| Unlevered beta | 0.88 | 1.01 |
| Relevered beta | 1.04 | 1.21 |
| Adjusted relevered beta | 1.03 | 1.14 |
6579.T'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 6579.T:
cost_of_equity (9.10%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (1.03) + 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.