CATG
Capstone Technologies Group Inc
Price:  
0.20 
USD
Volume:  
350.00
Poland | Diversified Consumer Services
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CATG WACC - Weighted Average Cost of Capital

The WACC of Capstone Technologies Group Inc (CATG) is 4.0%.

The Cost of Equity of Capstone Technologies Group Inc (CATG) is 25.30%.
The Cost of Debt of Capstone Technologies Group Inc (CATG) is 4.90%.

Range Selected
Cost of equity 15.10% - 35.50% 25.30%
Tax rate 26.20% - 27.00% 26.60%
Cost of debt 4.80% - 5.00% 4.90%
WACC 3.7% - 4.2% 4.0%
WACC

CATG WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 2.44 5.47
Additional risk adjustments 0.0% 0.5%
Cost of equity 15.10% 35.50%
Tax rate 26.20% 27.00%
Debt/Equity ratio 54.38 54.38
Cost of debt 4.80% 5.00%
After-tax WACC 3.7% 4.2%
Selected WACC 4.0%

CATG'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 CATG:

cost_of_equity (25.30%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (2.44) + 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.