The WACC of AAR Corp (AIR) is 7.7%.
Range | Selected | |
Cost of equity | 7.10% - 9.20% | 8.15% |
Tax rate | 22.60% - 25.50% | 24.05% |
Cost of debt | 4.90% - 5.20% | 5.05% |
WACC | 6.8% - 8.7% | 7.7% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.71 | 0.78 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.10% | 9.20% |
Tax rate | 22.60% | 25.50% |
Debt/Equity ratio | 0.12 | 0.12 |
Cost of debt | 4.90% | 5.20% |
After-tax WACC | 6.8% | 8.7% |
Selected WACC | 7.7% | |