AMBC
Ambac Financial Group Inc
Price:  
13.40 
USD
Volume:  
702,698.00
United States | Insurance
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AMBC WACC - Weighted Average Cost of Capital

The WACC of Ambac Financial Group Inc (AMBC) is 4.7%.

The Cost of Equity of Ambac Financial Group Inc (AMBC) is 9.25%.
The Cost of Debt of Ambac Financial Group Inc (AMBC) is 5.00%.

Range Selected
Cost of equity 7.40% - 11.10% 9.25%
Tax rate 10.70% - 33.80% 22.25%
Cost of debt 5.00% - 5.00% 5.00%
WACC 4.9% - 4.5% 4.7%
WACC

AMBC WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.77 1.12
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.40% 11.10%
Tax rate 10.70% 33.80%
Debt/Equity ratio 5.79 5.79
Cost of debt 5.00% 5.00%
After-tax WACC 4.9% 4.5%
Selected WACC 4.7%