6815.T WACC - Weighted Average Cost of Capital
The WACC of Uniden Holdings Corp (6815.T) is 6.0%.
| Range | Selected | |
| Cost of equity | 5.3% - 7.9% | 6.6% |
| Tax rate | 14.7% - 23.0% | 18.85% |
| Cost of debt | 4.0% - 4.5% | 4.25% |
| WACC | 5.0% - 7.1% | 6.0% |
| Category | Low | High |
| Long-term bond rate | 1.4% | 1.9% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.64 | 0.77 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 5.3% | 7.9% |
| Tax rate | 14.7% | 23.0% |
| Debt/Equity ratio | 0.22 | 0.22 |
| Cost of debt | 4.0% | 4.5% |
| After-tax WACC | 5.0% | 7.1% |
| Selected WACC | 6.0% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 6815.T | Uniden Holdings Corp | 0.22 | 1.04 | 0.89 |
| 6659.T | Media Links Co Ltd | 0.24 | 1.05 | 0.88 |
| 6675.T | SAXA Holdings Inc | 0.11 | 0.57 | 0.52 |
| 6704.T | Iwatsu Electric Co Ltd | 0.27 | -0.01 | -0.01 |
| 6715.T | Nakayo Inc | 1.13 | -0.22 | -0.12 |
| 6778.T | Artiza Networks Inc | 0.26 | 0.39 | 0.33 |
| 6822.T | Oi Electric Co Ltd | 1.38 | 0.73 | 0.35 |
| 6835.T | Allied Telesis Holdings KK | 0.44 | 0.59 | 0.43 |
| 6838.T | Tamagawa Holdings Co Ltd | 0.75 | 1.25 | 0.78 |
| 6930.T | Nippon Antenna Co Ltd | 0 | 0.61 | 0.61 |
| Low | High | |
| Unlevered beta | 0.4 | 0.56 |
| Relevered beta | 0.46 | 0.66 |
| Adjusted relevered beta | 0.64 | 0.77 |
6815.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 6815.T:
cost_of_equity (6.60%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (0.64) + 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.