CAG.VN WACC - Weighted Average Cost of Capital
The WACC of Angiang Port JSC (CAG.VN) is 6.5%.
| Range | Selected | |
| Cost of equity | 8.0% - 9.9% | 8.95% |
| Tax rate | 17.5% - 20.1% | 18.8% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 6.1% - 6.9% | 6.5% |
| Category | Low | High |
| Long-term bond rate | 2.7% | 3.2% |
| Equity market risk premium | 9.5% | 10.5% |
| Adjusted beta | 0.55 | 0.59 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 8.0% | 9.9% |
| Tax rate | 17.5% | 20.1% |
| Debt/Equity ratio | 1 | 1 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 6.1% | 6.9% |
| Selected WACC | 6.5% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| CAG.VN | Angiang Port JSC | 1.13 | 0.56 | 0.29 |
| CCR.VN | CamRanh Port JSC | 0.03 | 0.23 | 0.22 |
| CPI.VN | Cailanport Investment JSC | 0.02 | 0.8 | 0.79 |
| DNL.VN | Da Nang Port Logistics JSC | 0.03 | 0.16 | 0.16 |
| ILC.VN | International Labour and Services JSC | 0.16 | 0.7 | 0.62 |
| NOS.VN | Oriental Shipping and Trading JSC | 176.04 | 1.12 | 0.01 |
| SGS.VN | Saigon Shipping JSC | 0 | 0.83 | 0.83 |
| VSG.VN | South Vietnam Container Shipping JSC | 13.44 | 0.82 | 0.07 |
| VTX.VN | Vietranstimex Multimodal Transport Holding Co | 0.22 | -1.95 | -1.66 |
| Low | High | |
| Unlevered beta | 0.17 | 0.28 |
| Relevered beta | 0.33 | 0.39 |
| Adjusted relevered beta | 0.55 | 0.59 |
CAG.VN'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 CAG.VN:
cost_of_equity (8.95%) = risk_free_rate (2.95%) + equity_risk_premium (10.00%) * adjusted_beta (0.55) + 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.