688399.SS WACC - Weighted Average Cost of Capital
The WACC of Jiangsu Bioperfectus Technologies Co Ltd (688399.SS) is 8.1%.
| Range | Selected | |
| Cost of equity | 6.9% - 9.7% | 8.3% |
| Tax rate | 14.4% - 14.6% | 14.5% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 6.8% - 9.4% | 8.1% |
| Category | Low | High |
| Long-term bond rate | 2.7% | 3.2% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.69 | 0.84 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.9% | 9.7% |
| Tax rate | 14.4% | 14.6% |
| Debt/Equity ratio | 0.06 | 0.06 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 6.8% | 9.4% |
| Selected WACC | 8.1% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 688399.SS | Jiangsu Bioperfectus Technologies Co Ltd | 0.06 | 0.67 | 0.63 |
| 1501.HK | Shanghai Kindly Medical Instruments Co Ltd | 0.06 | -0.05 | -0.05 |
| 1763.HK | China Isotope & Radiation Corp | 0.76 | 0.71 | 0.43 |
| 2393.HK | Yestar Healthcare Holdings Co Ltd | 1.84 | 0.49 | 0.19 |
| 300642.SZ | Tellgen Corp | 0.04 | 1.3 | 1.26 |
| 603976.SS | ChongQing Zhengchuan Pharmaceutical Packaging Co Ltd | 0.22 | 1.03 | 0.87 |
| 605369.SS | Zhejiang Gongdong Medical Technology Co Ltd | 0.01 | 1.13 | 1.13 |
| 688026.SS | Guangzhou Jet Bio-Filtration Co Ltd | 0.17 | 1.47 | 1.28 |
| 9997.HK | Kangji Medical Holdings Ltd | 0 | 0.57 | 0.57 |
| NAN.AX | Nanosonics Ltd | 0.01 | 0.32 | 0.32 |
| Low | High | |
| Unlevered beta | 0.51 | 0.73 |
| Relevered beta | 0.54 | 0.76 |
| Adjusted relevered beta | 0.69 | 0.84 |
688399.SS'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 688399.SS:
cost_of_equity (8.30%) = risk_free_rate (2.95%) + equity_risk_premium (6.60%) * adjusted_beta (0.69) + 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.