BUBL.ST
Bublar Group AB (publ)
Price:  
2.60 
SEK
Volume:  
274,760.00
Sweden | Entertainment
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BUBL.ST WACC - Weighted Average Cost of Capital

The WACC of Bublar Group AB (publ) (BUBL.ST) is 6.9%.

The Cost of Equity of Bublar Group AB (publ) (BUBL.ST) is 7.35%.
The Cost of Debt of Bublar Group AB (publ) (BUBL.ST) is 5.00%.

Range Selected
Cost of equity 5.40% - 9.30% 7.35%
Tax rate 6.80% - 14.90% 10.85%
Cost of debt 5.00% - 5.00% 5.00%
WACC 5.3% - 8.5% 6.9%
WACC

BUBL.ST WACC calculation

Category Low High
Long-term bond rate 2.3% 2.8%
Equity market risk premium 4.7% 5.7%
Adjusted beta 0.66 1.05
Additional risk adjustments 0.0% 0.5%
Cost of equity 5.40% 9.30%
Tax rate 6.80% 14.90%
Debt/Equity ratio 0.2 0.2
Cost of debt 5.00% 5.00%
After-tax WACC 5.3% 8.5%
Selected WACC 6.9%

BUBL.ST'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 BUBL.ST:

cost_of_equity (7.35%) = risk_free_rate (2.55%) + equity_risk_premium (5.20%) * adjusted_beta (0.66) + 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.