The WACC of Assured Guaranty Ltd (AGO) is 6.7%.
Range | Selected | |
Cost of equity | 6.40% - 9.00% | 7.70% |
Tax rate | 11.70% - 12.70% | 12.20% |
Cost of debt | 5.00% - 5.00% | 5.00% |
WACC | 5.8% - 7.7% | 6.7% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.54 | 0.74 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.40% | 9.00% |
Tax rate | 11.70% | 12.70% |
Debt/Equity ratio | 0.4 | 0.4 |
Cost of debt | 5.00% | 5.00% |
After-tax WACC | 5.8% | 7.7% |
Selected WACC | 6.7% | |