ASP.AX WACC - Weighted Average Cost of Capital
The WACC of Aspermont Ltd (ASP.AX) is 7.2%.
| Range | Selected | |
| Cost of equity | 6.2% - 8.4% | 7.3% |
| Tax rate | 5.0% - 8.7% | 6.85% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 6.2% - 8.3% | 7.2% |
| Category | Low | High |
| Long-term bond rate | 4.0% | 4.5% |
| Equity market risk premium | 5.1% | 6.1% |
| Adjusted beta | 0.42 | 0.55 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.2% | 8.4% |
| Tax rate | 5.0% | 8.7% |
| Debt/Equity ratio | 0.02 | 0.02 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 6.2% | 8.3% |
| Selected WACC | 7.2% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| ASP.AX | Aspermont Ltd | 0.02 | 3.52 | 3.45 |
| 134060.KQ | E-Future Co Ltd | 0.03 | 0.15 | 0.14 |
| 343.HK | Culturecom Holdings Ltd | 0.02 | 0.78 | 0.77 |
| 426.HK | One Media Group Ltd | 4.05 | 1.2 | 0.25 |
| CM8.AX | Crowd Media Holdings Ltd | 0.06 | 2.01 | 1.9 |
| EBS.VN | Educational Book JSC in Ha Noi City | 0.06 | -0.07 | -0.07 |
| LBE.VN | Long An School Book and Equipment JSC | 0.16 | -0.12 | -0.11 |
| MATI.BK | Matichon PCL | 0.02 | 0.46 | 0.45 |
| NINE.BK | Nation International Edutainment PCL | 0 | 0.44 | 0.44 |
| POST.BK | Bangkok Post PCL | 8.86 | 0.68 | 0.07 |
| PPG.KL | Pelangi Publishing Group Bhd | 0.34 | 0.16 | 0.12 |
| Low | High | |
| Unlevered beta | 0.14 | 0.44 |
| Relevered beta | 0.13 | 0.33 |
| Adjusted relevered beta | 0.42 | 0.55 |
ASP.AX'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 ASP.AX:
cost_of_equity (7.30%) = risk_free_rate (4.25%) + equity_risk_premium (5.60%) * adjusted_beta (0.42) + 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.