AMAN.TA WACC - Weighted Average Cost of Capital

The WACC of Amanet Management & Systems Ltd (AMAN.TA) is 8.6%.

The Cost of Equity of Amanet Management & Systems Ltd (AMAN.TA) is 8.95%.

The Cost of Debt of Amanet Management & Systems Ltd (AMAN.TA) is 4.70%.

	Range	Selected
Cost of equity	7.60% - 10.30%	8.95%
Tax rate	27.20% - 28.30%	27.75%
Cost of debt	4.00% - 5.40%	4.70%
WACC	7.3% - 9.9%	8.6%

WACC

AMAN.TA WACC calculation

Category	Low	High

Long-term bond rate	4.8%	5.3%
Equity market risk premium	6.1%	7.1%
Adjusted beta	0.45	0.63

Additional risk adjustments	0.0%	0.5%
Cost of equity	7.60%	10.30%

Tax rate	27.20%	28.30%
Debt/Equity ratio	0.08	0.08
Cost of debt	4.00%	5.40%

After-tax WACC	7.3%	9.9%


Selected WACC	8.6%

AMAN.TA'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 AMAN.TA:

cost_of_equity (8.95%) = risk_free_rate (5.05%) + equity_risk_premium (6.60%) * 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.