ARYT.TA WACC - Weighted Average Cost of Capital

The WACC of Aryt Industries Ltd (ARYT.TA) is 10.5%.

The Cost of Equity of Aryt Industries Ltd (ARYT.TA) is 10.55%.

The Cost of Debt of Aryt Industries Ltd (ARYT.TA) is 8.45%.

	Range	Selected
Cost of equity	8.40% - 12.70%	10.55%
Tax rate	10.70% - 14.90%	12.80%
Cost of debt	5.40% - 11.50%	8.45%
WACC	8.4% - 12.7%	10.5%

WACC

ARYT.TA WACC calculation

Category	Low	High

Long-term bond rate	4.8%	5.3%
Equity market risk premium	6.1%	7.1%
Adjusted beta	0.58	0.97

Additional risk adjustments	0.0%	0.5%
Cost of equity	8.40%	12.70%

Tax rate	10.70%	14.90%
Debt/Equity ratio	0	0
Cost of debt	5.40%	11.50%

After-tax WACC	8.4%	12.7%


Selected WACC	10.5%

ARYT.TA'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 ARYT.TA:

cost_of_equity (10.55%) = risk_free_rate (5.05%) + equity_risk_premium (6.60%) * adjusted_beta (0.58) + 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.