CAG.VN
Angiang Port JSC
Price:  
7,800 
VND
Volume:  
15,900
Viet Nam | Transportation and Warehousing

CAG.VN WACC - Weighted Average Cost of Capital

The WACC of Angiang Port JSC (CAG.VN) is 6.3%.

The Cost of Equity of Angiang Port JSC (CAG.VN) is 8.55%.
The Cost of Debt of Angiang Port JSC (CAG.VN) is 5%.

RangeSelected
Cost of equity7.4% - 9.7%8.55%
Tax rate17.5% - 20.1%18.8%
Cost of debt5.0% - 5.0%5%
WACC5.8% - 6.9%6.3%
WACC

CAG.VN WACC calculation

CategoryLowHigh
Long-term bond rate2.7%3.2%
Equity market risk premium9.5%10.5%
Adjusted beta0.490.57
Additional risk adjustments0.0%0.5%
Cost of equity7.4%9.7%
Tax rate17.5%20.1%
Debt/Equity ratio
11
Cost of debt5.0%5.0%
After-tax WACC5.8%6.9%
Selected WACC6.3%

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 (8.55%) = risk_free_rate (2.95%) + equity_risk_premium (10.00%) * 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.