CAR
Avis Budget Group Inc
Price:  
104.74 
USD
Volume:  
340,036.00
United States | Road & Rail
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CAR WACC - Weighted Average Cost of Capital

The WACC of Avis Budget Group Inc (CAR) is 6.7%.

The Cost of Equity of Avis Budget Group Inc (CAR) is 20.40%.
The Cost of Debt of Avis Budget Group Inc (CAR) is 5.95%.

Range Selected
Cost of equity 16.20% - 24.60% 20.40%
Tax rate 20.40% - 24.50% 22.45%
Cost of debt 4.20% - 7.70% 5.95%
WACC 5.1% - 8.3% 6.7%
WACC

CAR WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 2.68 3.52
Additional risk adjustments 0.0% 0.5%
Cost of equity 16.20% 24.60%
Tax rate 20.40% 24.50%
Debt/Equity ratio 6.54 6.54
Cost of debt 4.20% 7.70%
After-tax WACC 5.1% 8.3%
Selected WACC 6.7%