9790.T WACC - Weighted Average Cost of Capital
The WACC of Fukui Computer Holdings Inc (9790.T) is 7.1%.
| Range | Selected | |
| Cost of equity | 9.0% - 12.7% | 10.85% |
| Tax rate | 32.6% - 32.7% | 32.65% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 6.2% - 8.0% | 7.1% |
| Category | Low | High |
| Long-term bond rate | 1.4% | 1.9% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 1.23 | 1.44 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 9.0% | 12.7% |
| Tax rate | 32.6% | 32.7% |
| Debt/Equity ratio | 1 | 1 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 6.2% | 8.0% |
| Selected WACC | 7.1% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| 9790.T | Fukui Computer Holdings Inc | 1.19 | 0.65 | 0.36 |
| 3673.T | Broadleaf Co Ltd | 0.08 | 0.87 | 0.83 |
| 3921.T | NEOJAPAN Inc | 0 | 0.99 | 0.99 |
| 3993.T | PKSHA Technology Inc | 0.04 | 1.15 | 1.12 |
| 4344.T | Sourcenext Corp | 0.22 | 1.14 | 0.99 |
| 4425.T | Kudan Inc | 0.02 | 1.16 | 1.15 |
| 4431.T | Smaregi Inc | 0 | 1.11 | 1.11 |
| 4435.T | Kaonavi Inc | 0 | 0.68 | 0.67 |
| 4448.T | Chatwork Co Ltd | 0.06 | 0.8 | 0.77 |
| 4482.T | Wills Inc | 0.03 | 0.55 | 0.54 |
| 9928.T | Miroku Jyoho Service Co Ltd | 0.11 | 0.8 | 0.74 |
| Low | High | |
| Unlevered beta | 0.77 | 0.99 |
| Relevered beta | 1.34 | 1.66 |
| Adjusted relevered beta | 1.23 | 1.44 |
9790.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 9790.T:
cost_of_equity (10.85%) = risk_free_rate (1.65%) + equity_risk_premium (6.60%) * adjusted_beta (1.23) + 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.