AWM.WA WACC - Weighted Average Cost of Capital
The WACC of Airway Medix SA (AWM.WA) is 6.3%.
| Range | Selected | |
| Cost of equity | 5.1% - 9.6% | 7.35% |
| Tax rate | 0.9% - 8.7% | 4.8% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 5.0% - 7.5% | 6.3% |
| Category | Low | High |
| Long-term bond rate | 5.5% | 6.0% |
| Equity market risk premium | 6.3% | 7.3% |
| Adjusted beta | -0.15 | 0.36 |
| Additional risk adjustments | 0.5% | 1.0% |
| Cost of equity | 5.1% | 9.6% |
| Tax rate | 0.9% | 8.7% |
| Debt/Equity ratio | 0.72 | 0.72 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 5.0% | 7.5% |
| Selected WACC | 6.3% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| AWM.WA | Airway Medix SA | 0.72 | 0.28 | 0.17 |
| ACARIX.ST | Acarix AB | 1.01 | -0.76 | -0.38 |
| ALSPW.PA | Spineway SA | 25.98 | 0.2 | 0.01 |
| DIGN.ST | Dignitana AB | 0.05 | -0.47 | -0.45 |
| IST.WA | Infoscan SA | 0.01 | -0.4 | -0.4 |
| NANEXA.ST | Nanexa AB | 0.01 | 0.4 | 0.39 |
| NXTMH.HE | Nexstim Oyj | 0.1 | 0.06 | 0.05 |
| PHLOG B.ST | Pharmacolog I Uppsala AB (publ) | 0.06 | 0.05 | 0.05 |
| PLUN.ST | ProstaLund AB | 0.15 | -0.87 | -0.76 |
| SCIB.ST | SciBase Holding AB (publ) | 1 | -0.47 | -0.24 |
| Low | High | |
| Unlevered beta | -0.29 | 0.02 |
| Relevered beta | -0.72 | 0.04 |
| Adjusted relevered beta | -0.15 | 0.36 |
AWM.WA'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 AWM.WA:
cost_of_equity (7.35%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (-0.15) + risk_adjustments (0.75%)
We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.