The WACC of Antony Waste Handling Cell Ltd (AWHCL.NS) is 14.4%.
Range | Selected | |
Cost of equity | 13.7% - 17.8% | 15.75% |
Tax rate | 12.7% - 15.9% | 14.3% |
Cost of debt | 8.6% - 11.8% | 10.2% |
WACC | 12.5% - 16.3% | 14.4% |
Category | Low | High |
Long-term bond rate | 6.9% | 7.4% |
Equity market risk premium | 8.3% | 9.3% |
Adjusted beta | 0.82 | 1.07 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 13.7% | 17.8% |
Tax rate | 12.7% | 15.9% |
Debt/Equity ratio | 0.24 | 0.24 |
Cost of debt | 8.6% | 11.8% |
After-tax WACC | 12.5% | 16.3% |
Selected WACC | 14.4% | |
Debt/Equity | Unlevered | |||
Peers | Company Name | ratio | Beta | beta |
AWHCL.NS | Antony Waste Handling Cell Ltd | 0.24 | 1.9 | 1.58 |
2195.T | Amita Holdings Co Ltd | 0.27 | 0.86 | 0.7 |
309.HK | Xinhua News Media Holdings Ltd | 0.16 | 0.4 | 0.35 |
530643.BO | Eco Recycling Ltd | 0.06 | 1.2 | 1.14 |
567.SI | Colex Holdings Ltd | 0.12 | 0.81 | 0.74 |
5CT.SI | Ecowise Holdings Ltd | 0.36 | -0.83 | -0.63 |
BANKA.NS | Banka BioLoo Ltd | 0.33 | 1.64 | 1.28 |
JAG.KL | JAG Bhd | 0.4 | 0.64 | 0.48 |
KAPSTON.NS | Kapston Facilities Management Ltd | 0.35 | 0.32 | 0.25 |
V3M.SI | Metech International Ltd | 0 | 1.44 | 1.43 |
Low | High | |
Unlevered beta | 0.61 | 0.9 |
Relevered beta | 0.73 | 1.1 |
Adjusted relevered beta | 0.82 | 1.07 |
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 AWHCL.NS:
cost_of_equity (15.75%) = risk_free_rate (7.15%) + equity_risk_premium (8.80%) * adjusted_beta (0.82) + 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.