CEN.PA
Groupe Crit SA
Price:  
67.80 
EUR
Volume:  
714.00
France | Professional Services
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CEN.PA WACC - Weighted Average Cost of Capital

The WACC of Groupe Crit SA (CEN.PA) is 6.6%.

The Cost of Equity of Groupe Crit SA (CEN.PA) is 7.30%.
The Cost of Debt of Groupe Crit SA (CEN.PA) is 5.00%.

Range Selected
Cost of equity 6.20% - 8.40% 7.30%
Tax rate 38.20% - 41.90% 40.05%
Cost of debt 5.00% - 5.00% 5.00%
WACC 5.7% - 7.5% 6.6%
WACC

CEN.PA WACC calculation

Category Low High
Long-term bond rate 3.0% 3.5%
Equity market risk premium 5.8% 6.8%
Adjusted beta 0.56 0.65
Additional risk adjustments 0.0% 0.5%
Cost of equity 6.20% 8.40%
Tax rate 38.20% 41.90%
Debt/Equity ratio 0.19 0.19
Cost of debt 5.00% 5.00%
After-tax WACC 5.7% 7.5%
Selected WACC 6.6%

CEN.PA'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 CEN.PA:

cost_of_equity (7.30%) = risk_free_rate (3.25%) + equity_risk_premium (6.30%) * adjusted_beta (0.56) + 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.