ART.WA WACC - Weighted Average Cost of Capital

The WACC of Artifex Mundi SA (ART.WA) is 10.1%.

The Cost of Equity of Artifex Mundi SA (ART.WA) is 10.25%.

The Cost of Debt of Artifex Mundi SA (ART.WA) is 5.05%.

	Range	Selected
Cost of equity	9.20% - 11.30%	10.25%
Tax rate	8.90% - 10.10%	9.50%
Cost of debt	4.00% - 6.10%	5.05%
WACC	9.1% - 11.1%	10.1%

WACC

ART.WA WACC calculation

Category	Low	High

Long-term bond rate	5.5%	6.0%
Equity market risk premium	6.3%	7.3%
Adjusted beta	0.59	0.65

Additional risk adjustments	0.0%	0.5%
Cost of equity	9.20%	11.30%

Tax rate	8.90%	10.10%
Debt/Equity ratio	0.03	0.03
Cost of debt	4.00%	6.10%

After-tax WACC	9.1%	11.1%


Selected WACC	10.1%

ART.WA'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 ART.WA:

cost_of_equity (10.25%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (0.59) + 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.