CFRESH.BK WACC - Weighted Average Cost of Capital
The WACC of Seafresh Industry PCL (CFRESH.BK) is 6.1%.
| Range | Selected | |
| Cost of equity | 8.1% - 10.5% | 9.3% |
| Tax rate | 18.8% - 23.2% | 21% |
| Cost of debt | 4.8% - 6.2% | 5.5% |
| WACC | 5.4% - 6.8% | 6.1% |
| Category | Low | High |
| Long-term bond rate | 2.6% | 3.1% |
| Equity market risk premium | 7.4% | 8.4% |
| Adjusted beta | 0.74 | 0.83 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 8.1% | 10.5% |
| Tax rate | 18.8% | 23.2% |
| Debt/Equity ratio | 1.77 | 1.77 |
| Cost of debt | 4.8% | 6.2% |
| After-tax WACC | 5.4% | 6.8% |
| Selected WACC | 6.1% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| CFRESH.BK | Seafresh Industry PCL | 1.77 | 0.71 | 0.29 |
| BR.BK | Bangkok Ranch PCL | 3.36 | 0.19 | 0.05 |
| BRR.BK | Buriram Sugar PCL | 1.14 | 0.43 | 0.22 |
| CPI.BK | Chumporn Palm Oil Industry PCL | 0.38 | 0.95 | 0.73 |
| KBS.BK | Khonburi Sugar PCL | 1.9 | 1.06 | 0.42 |
| LST.BK | Lam Soon Thailand PCL | 0.25 | 0.22 | 0.19 |
| MALEE.BK | Malee Group PCL | 0.32 | 1.55 | 1.24 |
| SSF.BK | Surapon Foods PCL | 0.38 | 0.43 | 0.33 |
| TC.BK | Tropical Canning Thailand PCL | 0.26 | -0.12 | -0.1 |
| UVAN.BK | Univanich Palm Oil PCL | 0.01 | 0.28 | 0.28 |
| Low | High | |
| Unlevered beta | 0.26 | 0.31 |
| Relevered beta | 0.61 | 0.75 |
| Adjusted relevered beta | 0.74 | 0.83 |
CFRESH.BK'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 CFRESH.BK:
cost_of_equity (9.30%) = risk_free_rate (2.85%) + equity_risk_premium (7.90%) * adjusted_beta (0.74) + 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.