The WACC of AutoNation Inc (AN) is 7.8%.
Range | Selected | |
Cost of equity | 8.40% - 11.30% | 9.85% |
Tax rate | 24.70% - 25.50% | 25.10% |
Cost of debt | 5.60% - 6.50% | 6.05% |
WACC | 6.8% - 8.8% | 7.8% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.99 | 1.15 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 8.40% | 11.30% |
Tax rate | 24.70% | 25.50% |
Debt/Equity ratio | 0.63 | 0.63 |
Cost of debt | 5.60% | 6.50% |
After-tax WACC | 6.8% | 8.8% |
Selected WACC | 7.8% | |