CAR
Avis Budget Group Inc
Price:  
67.43 
USD
Volume:  
749,665.00
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 28.25%.
The Cost of Debt of Avis Budget Group Inc (CAR) is 5.85%.

Range Selected
Cost of equity 23.20% - 33.30% 28.25%
Tax rate 20.40% - 24.50% 22.45%
Cost of debt 4.20% - 7.50% 5.85%
WACC 5.2% - 8.2% 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 4.21 5.08
Additional risk adjustments 0.0% 0.5%
Cost of equity 23.20% 33.30%
Tax rate 20.40% 24.50%
Debt/Equity ratio 9.63 9.63
Cost of debt 4.20% 7.50%
After-tax WACC 5.2% 8.2%
Selected WACC 6.7%