9600.T
I-Net Corp
Price:  
1,873.00 
JPY
Volume:  
14,800.00
Japan | IT Services
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9600.T WACC - Weighted Average Cost of Capital

The WACC of I-Net Corp (9600.T) is 7.5%.

The Cost of Equity of I-Net Corp (9600.T) is 9.05%.
The Cost of Debt of I-Net Corp (9600.T) is 4.25%.

Range Selected
Cost of equity 7.60% - 10.50% 9.05%
Tax rate 32.00% - 32.30% 32.15%
Cost of debt 4.00% - 4.50% 4.25%
WACC 6.4% - 8.6% 7.5%
WACC

9600.T WACC calculation

Category Low High
Long-term bond rate 1.4% 1.9%
Equity market risk premium 6.1% 7.1%
Adjusted beta 1.02 1.14
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.60% 10.50%
Tax rate 32.00% 32.30%
Debt/Equity ratio 0.34 0.34
Cost of debt 4.00% 4.50%
After-tax WACC 6.4% 8.6%
Selected WACC 7.5%

9600.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 9600.T:

cost_of_equity (9.05%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (1.02) + 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.