6819.HK WACC - Weighted Average Cost of Capital
The WACC of Intellicentrics Global Holdings Ltd (6819.HK) is 7.2%.
| Range | Selected | |
| Cost of equity | 5.9% - 9.3% | 7.6% |
| Tax rate | 25.5% - 42.0% | 33.75% |
| Cost of debt | 5.0% - 7.0% | 6% |
| WACC | 5.7% - 8.7% | 7.2% |
| Category | Low | High |
| Long-term bond rate | 2.9% | 3.4% |
| Equity market risk premium | 6.0% | 7.0% |
| Adjusted beta | 0.51 | 0.77 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 5.9% | 9.3% |
| Tax rate | 25.5% | 42.0% |
| Debt/Equity ratio | 0.13 | 0.13 |
| Cost of debt | 5.0% | 7.0% |
| After-tax WACC | 5.7% | 8.7% |
| Selected WACC | 7.2% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 6819.HK | Intellicentrics Global Holdings Ltd | 0.13 | 0.04 | 0.03 |
| 071200.KQ | Infinitt Healthcare Co Ltd | 0.02 | 0.21 | 0.21 |
| 300451.SZ | B-SOFT Co Ltd | 0.01 | 2.06 | 2.05 |
| 3628.T | Data Horizon Co Ltd | 0.35 | 0.34 | 0.28 |
| 4480.T | Medley Inc | 0.15 | 0.61 | 0.55 |
| 4483.T | JMDC Inc | 0.19 | 0.78 | 0.7 |
| 6095.T | MedPeer Inc | 0.18 | 1.25 | 1.12 |
| GLH.AX | Global Health Ltd | 0.31 | 0.13 | 0.11 |
| PME.AX | Pro Medicus Ltd | 0 | 1.95 | 1.95 |
| RAP.AX | Resapp Health Ltd | 0 | -0.27 | -0.27 |
| Low | High | |
| Unlevered beta | 0.25 | 0.61 |
| Relevered beta | 0.27 | 0.66 |
| Adjusted relevered beta | 0.51 | 0.77 |
6819.HK'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 6819.HK:
cost_of_equity (7.60%) = risk_free_rate (3.15%) + equity_risk_premium (6.50%) * adjusted_beta (0.51) + 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.