ACG1V.HE WACC - Weighted Average Cost of Capital

The WACC of Aspocomp Group Oyj (ACG1V.HE) is 6.0%.

The Cost of Equity of Aspocomp Group Oyj (ACG1V.HE) is 6.05%.

The Cost of Debt of Aspocomp Group Oyj (ACG1V.HE) is 7.30%.

	Range	Selected
Cost of equity	5.20% - 6.90%	6.05%
Tax rate	19.10% - 19.60%	19.35%
Cost of debt	7.00% - 7.60%	7.30%
WACC	5.3% - 6.8%	6.0%

WACC

ACG1V.HE WACC calculation

Category	Low	High

Long-term bond rate	2.7%	3.2%
Equity market risk premium	5.7%	6.7%
Adjusted beta	0.43	0.47

Additional risk adjustments	0.0%	0.5%
Cost of equity	5.20%	6.90%

Tax rate	19.10%	19.60%
Debt/Equity ratio	0.21	0.21
Cost of debt	7.00%	7.60%

After-tax WACC	5.3%	6.8%


Selected WACC	6.0%

ACG1V.HE'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 ACG1V.HE:

cost_of_equity (6.05%) = risk_free_rate (2.95%) + equity_risk_premium (6.20%) * adjusted_beta (0.43) + 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.