ADX.WA WACC - Weighted Average Cost of Capital

The WACC of Adatex Deweloper SA (ADX.WA) is 10.9%.

The Cost of Equity of Adatex Deweloper SA (ADX.WA) is 8.20%.

The Cost of Debt of Adatex Deweloper SA (ADX.WA) is 14.00%.

	Range	Selected
Cost of equity	7.20% - 9.20%	8.20%
Tax rate	7.50% - 13.20%	10.35%
Cost of debt	14.00% - 14.00%	14.00%
WACC	10.8% - 11.0%	10.9%

WACC

ADX.WA WACC calculation

Category	Low	High

Long-term bond rate	5.5%	6.0%
Equity market risk premium	6.3%	7.3%
Adjusted beta	0.26	0.37

Additional risk adjustments	0.0%	0.5%
Cost of equity	7.20%	9.20%

Tax rate	7.50%	13.20%
Debt/Equity ratio	1.65	1.65
Cost of debt	14.00%	14.00%

After-tax WACC	10.8%	11.0%


Selected WACC	10.9%

ADX.WA'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 ADX.WA:

cost_of_equity (8.20%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (0.26) + 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.