AIG
American International Group Inc
Price:  
72.84 
USD
Volume:  
4,368,103.00
United States | Insurance
Valuation
Overview
Financials
Forecast
Compare
Historical Price
SolvencyDividends
Transactions
People

AIG WACC - Weighted Average Cost of Capital

The WACC of American International Group Inc (AIG) is 7.5%.

The Cost of Equity of American International Group Inc (AIG) is 9.10%.
The Cost of Debt of American International Group Inc (AIG) is 5.00%.

Range Selected
Cost of equity 8.10% - 10.10% 9.10%
Tax rate 19.20% - 20.40% 19.80%
Cost of debt 5.00% - 5.00% 5.00%
WACC 6.8% - 8.2% 7.5%
WACC

AIG WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.92 0.94
Additional risk adjustments 0.0% 0.5%
Cost of equity 8.10% 10.10%
Tax rate 19.20% 20.40%
Debt/Equity ratio 0.45 0.45
Cost of debt 5.00% 5.00%
After-tax WACC 6.8% 8.2%
Selected WACC 7.5%