ALESA.PA
Ecoslops SA
Price:  
0.75 
EUR
Volume:  
1,192
France | Commercial Services & Supplies

ALESA.PA WACC - Weighted Average Cost of Capital

The WACC of Ecoslops SA (ALESA.PA) is 7.8%.

The Cost of Equity of Ecoslops SA (ALESA.PA) is 6.05%.
The Cost of Debt of Ecoslops SA (ALESA.PA) is 9.4%.

RangeSelected
Cost of equity4.8% - 7.3%6.05%
Tax rate10.8% - 14.3%12.55%
Cost of debt4.0% - 14.8%9.4%
WACC3.8% - 11.7%7.8%
WACC

ALESA.PA WACC calculation

CategoryLowHigh
Long-term bond rate3.0%3.5%
Equity market risk premium5.8%6.8%
Adjusted beta0.310.49
Additional risk adjustments0.0%0.5%
Cost of equity4.8%7.3%
Tax rate10.8%14.3%
Debt/Equity ratio
4.774.77
Cost of debt4.0%14.8%
After-tax WACC3.8%11.7%
Selected WACC7.8%

ALESA.PA's CAPM model and how its cost of Equity is calculated

The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.

This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.

Here’s how we figure out the cost of equity for ALESA.PA:

cost_of_equity (6.05%) = risk_free_rate (3.25%) + equity_risk_premium (6.30%) * adjusted_beta (0.31) + risk_adjustments (0.25%)

We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.