BRS.WA WACC - Weighted Average Cost of Capital
The WACC of Boryszew SA (BRS.WA) is 9.0%.
| Range | Selected | |
| Cost of equity | 10.7% - 13.1% | 11.9% |
| Tax rate | 16.4% - 25.8% | 21.1% |
| Cost of debt | 4.8% - 7.7% | 6.25% |
| WACC | 8.0% - 10.1% | 9.0% |
| Category | Low | High |
| Long-term bond rate | 5.5% | 6.0% |
| Equity market risk premium | 6.3% | 7.3% |
| Adjusted beta | 0.82 | 0.9 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 10.7% | 13.1% |
| Tax rate | 16.4% | 25.8% |
| Debt/Equity ratio | 0.69 | 0.69 |
| Cost of debt | 4.8% | 7.7% |
| After-tax WACC | 8.0% | 10.1% |
| Selected WACC | 9.0% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| BRS.WA | Boryszew SA | 0.69 | 0.28 | 0.18 |
| AMAG.VI | AMAG Austria Metall AG | 0.74 | 0.34 | 0.21 |
| BOL.ST | Boliden AB | 0.19 | 1.36 | 1.18 |
| CAMB.BR | Campine NV | 0.07 | 0.48 | 0.45 |
| GAL.WA | Galvo SA | 0.51 | -0.02 | -0.02 |
| GRNG.ST | Granges AB | 0.41 | 0.82 | 0.61 |
| KRDMD.IS | Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS | 0.17 | 1.54 | 1.35 |
| VIO.AT | Viohalco SA | 1.45 | 1.08 | 0.49 |
| GSM | Ferroglobe PLC | 0.19 | 0.54 | 0.47 |
| MTRN | Materion Corp | 0.27 | 1.3 | 1.06 |
| Low | High | |
| Unlevered beta | 0.46 | 0.54 |
| Relevered beta | 0.73 | 0.85 |
| Adjusted relevered beta | 0.82 | 0.9 |
BRS.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 BRS.WA:
cost_of_equity (11.90%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * 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.