AURA.TA WACC - Weighted Average Cost of Capital
The WACC of Aura Investments Ltd (AURA.TA) is 8.3%.
| Range | Selected | |
| Cost of equity | 7.9% - 10.6% | 9.25% |
| Tax rate | 20.2% - 21.9% | 21.05% |
| Cost of debt | 6.5% - 8.4% | 7.45% |
| WACC | 7.1% - 9.4% | 8.3% |
| Category | Low | High |
| Long-term bond rate | 4.8% | 5.3% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.5 | 0.67 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 7.9% | 10.6% |
| Tax rate | 20.2% | 21.9% |
| Debt/Equity ratio | 0.42 | 0.42 |
| Cost of debt | 6.5% | 8.4% |
| After-tax WACC | 7.1% | 9.4% |
| Selected WACC | 8.3% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| AURA.TA | Aura Investments Ltd | 0.42 | 1.64 | 1.23 |
| 015020.KS | e-Starco Co Ltd | 0.3 | -0.1 | -0.08 |
| 1436.TW | Hua Yu Lien Development Co Ltd | 0.68 | 0.42 | 0.28 |
| 1437.TW | GTM Holdings Corp | 0.66 | 0.57 | 0.37 |
| 500307.BO | Nirlon Ltd | 0.24 | 0.47 | 0.39 |
| DRSL.TA | Dorsel BAZ Ltd | 1.36 | 1.04 | 0.5 |
| HNMR.TA | Hanan Mor Group Holdings Ltd | 18.08 | 1 | 0.07 |
| LHG.VN | Long Hau Corp | 0.13 | 1.07 | 0.97 |
| LVPR.TA | Levinstein Properties Ltd | 0.44 | 0.85 | 0.64 |
| NIRO.JK | City Retail Developments Tbk PT | 2.67 | -0.04 | -0.01 |
| OBAS.TA | Optibase Ltd | 1.92 | -0.17 | -0.07 |
| Low | High | |
| Unlevered beta | 0.28 | 0.39 |
| Relevered beta | 0.25 | 0.51 |
| Adjusted relevered beta | 0.5 | 0.67 |
AURA.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 AURA.TA:
cost_of_equity (9.25%) = risk_free_rate (5.05%) + equity_risk_premium (6.60%) * adjusted_beta (0.5) + 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.