BABY.V WACC - Weighted Average Cost of Capital
The WACC of Else Nutrition Holdings Inc (BABY.V) is 6.2%.
| Range | Selected | |
| Cost of equity | 5.3% - 7.2% | 6.25% |
| Tax rate | 27.0% - 27.0% | 27% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 5.3% - 7.2% | 6.2% |
| Category | Low | High |
| Long-term bond rate | 3.2% | 3.7% |
| Equity market risk premium | 4.7% | 5.7% |
| Adjusted beta | 0.34 | 0.45 |
| Additional risk adjustments | 0.5% | 1.0% |
| Cost of equity | 5.3% | 7.2% |
| Tax rate | 27.0% | 27.0% |
| Debt/Equity ratio | 0 | 0 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 5.3% | 7.2% |
| Selected WACC | 6.2% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| BABY.V | Else Nutrition Holdings Inc | 0 | 0.93 | 0.93 |
| AMNF | Armanino Foods Of Distinction Inc | 0.01 | 0.1 | 0.09 |
| KRED | Konared Corp | 6.19 | -361.5 | -65.54 |
| LATF | Latteno Food Corp | 96.51 | -25.25 | -0.35 |
| MMMB | MamaMancini's Holdings Inc | 0.07 | 0.42 | 0.4 |
| NTRU | Natur International Corp | 192.52 | -3093.56 | -21.86 |
| NUZE | NuZee Inc | 0 | -1.24 | -1.23 |
| PACV | Pacific Ventures Group Inc | 55699.72 | -25.07 | 0 |
| PETZ | TDH Holdings Inc | 0.04 | 0.58 | 0.56 |
| PLAG | Planet Green Holdings Corp | 0.18 | -2.45 | -2.17 |
| Low | High | |
| Unlevered beta | -0.71 | 0.04 |
| Relevered beta | 0.01 | 0.18 |
| Adjusted relevered beta | 0.34 | 0.45 |
BABY.V'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 BABY.V:
cost_of_equity (6.25%) = risk_free_rate (3.45%) + equity_risk_premium (5.20%) * adjusted_beta (0.34) + 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.