AIR
AAR Corp
Price:  
67.37 
USD
Volume:  
149,097.00
United States | Aerospace & Defense
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AAR WACC - Weighted Average Cost of Capital

The WACC of AAR Corp (AIR) is 8.2%.

The Cost of Equity of AAR Corp (AIR) is 9.20%.
The Cost of Debt of AAR Corp (AIR) is 7.70%.

Range Selected
Cost of equity 7.70% - 10.70% 9.20%
Tax rate 23.40% - 25.50% 24.45%
Cost of debt 6.30% - 9.10% 7.70%
WACC 6.9% - 9.6% 8.2%
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 0.83 1.05
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.70% 10.70%
Tax rate 23.40% 25.50%
Debt/Equity ratio 0.4 0.4
Cost of debt 6.30% 9.10%
After-tax WACC 6.9% 9.6%
Selected WACC 8.2%