ALNSE.PA
NSE SA
Price:  
39.10 
EUR
Volume:  
3,984.00
France | Aerospace & Defense
Valuation
Overview
Financials
Forecast
Compare
Historical Price
SolvencyDividends
Transactions
People

ALNSE.PA WACC - Weighted Average Cost of Capital

The WACC of NSE SA (ALNSE.PA) is 8.4%.

The Cost of Equity of NSE SA (ALNSE.PA) is 8.70%.
The Cost of Debt of NSE SA (ALNSE.PA) is 4.25%.

Range Selected
Cost of equity 7.40% - 10.00% 8.70%
Tax rate 27.00% - 29.60% 28.30%
Cost of debt 4.00% - 4.50% 4.25%
WACC 7.2% - 9.7% 8.4%
WACC

ALNSE.PA WACC calculation

Category Low High
Long-term bond rate 3.0% 3.5%
Equity market risk premium 5.8% 6.8%
Adjusted beta 0.76 0.88
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.40% 10.00%
Tax rate 27.00% 29.60%
Debt/Equity ratio 0.05 0.05
Cost of debt 4.00% 4.50%
After-tax WACC 7.2% 9.7%
Selected WACC 8.4%

ALNSE.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 ALNSE.PA:

cost_of_equity (8.70%) = risk_free_rate (3.25%) + equity_risk_premium (6.30%) * adjusted_beta (0.76) + 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.