BSYI WACC - Weighted Average Cost of Capital
The WACC of Biosyntech Inc (BSYI) is 7.2%.
| Range | Selected | |
| Cost of equity | 6.1% - 12243.3% | 6124.7% |
| Tax rate | 26.2% - 27.0% | 26.6% |
| Cost of debt | 7.0% - 12.5% | 9.75% |
| WACC | 5.2% - 9.3% | 7.2% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 0.49 | 2185.44 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.1% | 12243.3% |
| Tax rate | 26.2% | 27.0% |
| Debt/Equity ratio | 74265.94 | 74265.94 |
| Cost of debt | 7.0% | 12.5% |
| After-tax WACC | 5.2% | 9.3% |
| Selected WACC | 7.2% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| BSYI | Biosyntech Inc | 74265.95 | 0.28 | 0 |
| IMNPQ | Immune Pharmaceuticals Inc | 27.49 | 1.53 | 0.07 |
| IMUN | Immune Therapeutics Inc | 0.14 | 0.06 | 0.05 |
| LBL.V | Lattice Biologics Ltd | 0.78 | 1.05 | 0.67 |
| MCET | Multicell Technologies Inc | 17.28 | -2.02 | -0.15 |
| MYMX | Mymetics Corp | 1782640 | 0.57 | 0 |
| PKPH | Peak Pharmaceuticals Inc | 0.39 | 0.94 | 0.73 |
| PZRXQ | PZ Wind Down Inc | 0.61 | 0.36 | 0.25 |
| RCHA | Rich Pharmaceuticals Inc | 3.06 | 1.5 | 0.46 |
| Low | High | |
| Unlevered beta | 0.06 | 0.21 |
| Relevered beta | 0.24 | 3261.36 |
| Adjusted relevered beta | 0.49 | 2185.44 |
BSYI'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 BSYI:
cost_of_equity (6,124.70%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (0.49) + 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.