CMXC
Cell MedX Corp
Price:  
0.45 
USD
Volume:  
1,120
United States | Health Care Equipment & Supplies

CMXC WACC - Weighted Average Cost of Capital

The WACC of Cell MedX Corp (CMXC) is 5.5%.

The Cost of Equity of Cell MedX Corp (CMXC) is 6.4%.
The Cost of Debt of Cell MedX Corp (CMXC) is 5%.

RangeSelected
Cost of equity5.4% - 7.4%6.4%
Tax rate26.2% - 27.0%26.6%
Cost of debt5.0% - 5.0%5%
WACC4.8% - 6.1%5.5%
WACC

CMXC WACC calculation

CategoryLowHigh
Long-term bond rate3.9%4.4%
Equity market risk premium4.6%5.6%
Adjusted beta0.330.46
Additional risk adjustments0.0%0.5%
Cost of equity5.4%7.4%
Tax rate26.2%27.0%
Debt/Equity ratio
0.520.52
Cost of debt5.0%5.0%
After-tax WACC4.8%6.1%
Selected WACC5.5%

CMXC'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 CMXC:

cost_of_equity (6.40%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (0.33) + 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.