ALK
Alaska Air Group Inc
Price:  
39.46 
USD
Volume:  
1,639,970.00
United States | Airlines
Valuation
Overview
Financials
Forecast
Compare
Historical Price
SolvencyDividends
Transactions
People

ALK WACC - Weighted Average Cost of Capital

The WACC of Alaska Air Group Inc (ALK) is 5.8%.

The Cost of Equity of Alaska Air Group Inc (ALK) is 7.05%.
The Cost of Debt of Alaska Air Group Inc (ALK) is 4.60%.

Range Selected
Cost of equity 6.10% - 8.00% 7.05%
Tax rate 26.40% - 26.80% 26.60%
Cost of debt 4.00% - 5.20% 4.60%
WACC 5.0% - 6.6% 5.8%
WACC

ALK WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.49 0.56
Additional risk adjustments 0.0% 0.5%
Cost of equity 6.10% 8.00%
Tax rate 26.40% 26.80%
Debt/Equity ratio 0.53 0.53
Cost of debt 4.00% 5.20%
After-tax WACC 5.0% 6.6%
Selected WACC 5.8%