AIR
AAR Corp
Price:  
70.09 
USD
Volume:  
189,224.00
United States | Aerospace & Defense
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AAR WACC - Weighted Average Cost of Capital

The WACC of AAR Corp (AIR) is 7.9%.

The Cost of Equity of AAR Corp (AIR) is 8.35%.
The Cost of Debt of AAR Corp (AIR) is 5.05%.

Range Selected
Cost of equity 7.40% - 9.30% 8.35%
Tax rate 22.60% - 25.50% 24.05%
Cost of debt 4.90% - 5.20% 5.05%
WACC 7.1% - 8.8% 7.9%
WACC

AAR WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.77 0.79
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.40% 9.30%
Tax rate 22.60% 25.50%
Debt/Equity ratio 0.11 0.11
Cost of debt 4.90% 5.20%
After-tax WACC 7.1% 8.8%
Selected WACC 7.9%