AWK
American Water Works Company Inc
Price:  
141.71 
USD
Volume:  
645,036.00
United States | Water Utilities
Valuation
Overview
Financials
Forecast
Compare
Historical Price
SolvencyDividends
Transactions
People

AWK WACC - Weighted Average Cost of Capital

The WACC of American Water Works Company Inc (AWK) is 6.8%.

The Cost of Equity of American Water Works Company Inc (AWK) is 8.30%.
The Cost of Debt of American Water Works Company Inc (AWK) is 4.55%.

Range Selected
Cost of equity 7.30% - 9.30% 8.30%
Tax rate 22.20% - 23.10% 22.65%
Cost of debt 4.00% - 5.10% 4.55%
WACC 6.0% - 7.6% 6.8%
WACC

AWK WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.74 0.79
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.30% 9.30%
Tax rate 22.20% 23.10%
Debt/Equity ratio 0.45 0.45
Cost of debt 4.00% 5.10%
After-tax WACC 6.0% 7.6%
Selected WACC 6.8%