ALQ.MC WACC - Weighted Average Cost of Capital
The WACC of Alquiber Quality SA (ALQ.MC) is 5.6%.
| Range | Selected | |
| Cost of equity | 6.4% - 9.7% | 8.05% |
| Tax rate | 24.6% - 25.2% | 24.9% |
| Cost of debt | 4.6% - 8.3% | 6.45% |
| WACC | 4.2% - 7.1% | 5.6% |
| Category | Low | High |
| Long-term bond rate | 3.1% | 3.6% |
| Equity market risk premium | 7.4% | 8.4% |
| Adjusted beta | 0.45 | 0.67 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.4% | 9.7% |
| Tax rate | 24.6% | 25.2% |
| Debt/Equity ratio | 3.23 | 3.23 |
| Cost of debt | 4.6% | 8.3% |
| After-tax WACC | 4.2% | 7.1% |
| Selected WACC | 5.6% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| ALQ.MC | Alquiber Quality SA | 3.23 | 0.18 | 0.05 |
| GLG | TD Holdings Inc | 4.08 | 0.09 | 0.02 |
| ALADA.PA | Ada SA | 0.52 | 0.4 | 0.29 |
| ALUCR.PA | Ucar SA | 0.18 | 0.05 | 0.05 |
| BEYAZ.IS | Beyaz Filo Oto Kiralama AS | 0.01 | 2 | 1.98 |
| LNSX.DE | Sixt Leasing SE | 2.99 | 0.18 | 0.06 |
| NXB.WA | Nextbike Polska SA | 0.18 | 1.48 | 1.3 |
| OTOEL.AT | Autohellas SA | 0.8 | 0.82 | 0.51 |
| ROL.L | Rotala PLC | 1.92 | -0.23 | -0.09 |
| TRN.WA | Trans Polonia SA | 0.93 | -0.04 | -0.02 |
| Low | High | |
| Unlevered beta | 0.05 | 0.15 |
| Relevered beta | 0.18 | 0.51 |
| Adjusted relevered beta | 0.45 | 0.67 |
ALQ.MC'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 ALQ.MC:
cost_of_equity (8.05%) = risk_free_rate (3.35%) + equity_risk_premium (7.90%) * adjusted_beta (0.45) + 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.