The WACC of American Public Education Inc (APEI) is 6.5%.
Range | Selected | |
Cost of equity | 5.50% - 8.00% | 6.75% |
Tax rate | 25.90% - 27.80% | 26.85% |
Cost of debt | 7.70% - 7.70% | 7.70% |
WACC | 5.5% - 7.5% | 6.5% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.34 | 0.56 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 5.50% | 8.00% |
Tax rate | 25.90% | 27.80% |
Debt/Equity ratio | 0.28 | 0.28 |
Cost of debt | 7.70% | 7.70% |
After-tax WACC | 5.5% | 7.5% |
Selected WACC | 6.5% | |