The WACC of American Financial Group Inc (AFG) is 7.4%.
Range | Selected | |
Cost of equity | 6.80% - 8.90% | 7.85% |
Tax rate | 19.60% - 20.30% | 19.95% |
Cost of debt | 5.00% - 5.00% | 5.00% |
WACC | 6.5% - 8.4% | 7.4% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.63 | 0.72 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.80% | 8.90% |
Tax rate | 19.60% | 20.30% |
Debt/Equity ratio | 0.12 | 0.12 |
Cost of debt | 5.00% | 5.00% |
After-tax WACC | 6.5% | 8.4% |
Selected WACC | 7.4% | |