The WACC of Amazon.com Inc (AMZN) is 7.8%.
Range | Selected | |
Cost of equity | 6.80% - 9.10% | 7.95% |
Tax rate | 15.20% - 17.80% | 16.50% |
Cost of debt | 4.00% - 4.50% | 4.25% |
WACC | 6.6% - 8.9% | 7.8% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.63 | 0.76 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.80% | 9.10% |
Tax rate | 15.20% | 17.80% |
Debt/Equity ratio | 0.04 | 0.04 |
Cost of debt | 4.00% | 4.50% |
After-tax WACC | 6.6% | 8.9% |
Selected WACC | 7.8% | |