COST
Costco Wholesale Corp
Price:  
795.81 
USD
Volume:  
1,309,627.00
United States | Food & Staples Retailing
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Costco WACC - Weighted Average Cost of Capital

The WACC of Costco Wholesale Corp (COST) is 7.1%.

The Cost of Equity of Costco Wholesale Corp (COST) is 7.20%.
The Cost of Debt of Costco Wholesale Corp (COST) is 4.30%.

Range Selected
Cost of equity 5.90% - 8.50% 7.20%
Tax rate 24.50% - 24.70% 24.60%
Cost of debt 4.00% - 4.60% 4.30%
WACC 5.9% - 8.4% 7.1%
WACC

Costco WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.45 0.64
Additional risk adjustments 0.0% 0.5%
Cost of equity 5.90% 8.50%
Tax rate 24.50% 24.70%
Debt/Equity ratio 0.02 0.02
Cost of debt 4.00% 4.60%
After-tax WACC 5.9% 8.4%
Selected WACC 7.1%