BRO
Brown & Brown Inc
Price:  
105.55 
USD
Volume:  
4,119,550.00
United States | Insurance
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BRO WACC - Weighted Average Cost of Capital

The WACC of Brown & Brown Inc (BRO) is 6.4%.

The Cost of Equity of Brown & Brown Inc (BRO) is 6.75%.
The Cost of Debt of Brown & Brown Inc (BRO) is 4.50%.

Range Selected
Cost of equity 5.60% - 7.90% 6.75%
Tax rate 23.20% - 23.60% 23.40%
Cost of debt 4.20% - 4.80% 4.50%
WACC 5.3% - 7.4% 6.4%
WACC

BRO WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.37 0.54
Additional risk adjustments 0.0% 0.5%
Cost of equity 5.60% 7.90%
Tax rate 23.20% 23.60%
Debt/Equity ratio 0.13 0.13
Cost of debt 4.20% 4.80%
After-tax WACC 5.3% 7.4%
Selected WACC 6.4%