ASC.BR
Ascencio SCA
Price:  
44.5 
EUR
Volume:  
1,723
Belgium | Equity Real Estate Investment Trusts (REITs)

ASC.BR WACC - Weighted Average Cost of Capital

The WACC of Ascencio SCA (ASC.BR) is 5.7%.

The Cost of Equity of Ascencio SCA (ASC.BR) is 7.45%.
The Cost of Debt of Ascencio SCA (ASC.BR) is 4.3%.

RangeSelected
Cost of equity6.5% - 8.4%7.45%
Tax rate3.8% - 4.6%4.2%
Cost of debt4.0% - 4.6%4.3%
WACC5.1% - 6.3%5.7%
WACC

ASC.BR WACC calculation

CategoryLowHigh
Long-term bond rate3.2%3.7%
Equity market risk premium6.4%7.4%
Adjusted beta0.510.57
Additional risk adjustments0.0%0.5%
Cost of equity6.5%8.4%
Tax rate3.8%4.6%
Debt/Equity ratio
1.111.11
Cost of debt4.0%4.6%
After-tax WACC5.1%6.3%
Selected WACC5.7%

ASC.BR'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 ASC.BR:

cost_of_equity (7.45%) = risk_free_rate (3.45%) + equity_risk_premium (6.90%) * adjusted_beta (0.51) + 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.