CRFSA.IS
CarrefourSA Carrefour Sabanci Ticaret Merkezi AS
Price:  
38.34 
TRY
Volume:  
42,050
Turkey | Food & Staples Retailing

CRFSA.IS WACC - Weighted Average Cost of Capital

The WACC of CarrefourSA Carrefour Sabanci Ticaret Merkezi AS (CRFSA.IS) is 25.1%.

The Cost of Equity of CarrefourSA Carrefour Sabanci Ticaret Merkezi AS (CRFSA.IS) is 28%.
The Cost of Debt of CarrefourSA Carrefour Sabanci Ticaret Merkezi AS (CRFSA.IS) is 22.45%.

RangeSelected
Cost of equity26.9% - 29.1%28%
Tax rate16.7% - 19.6%18.15%
Cost of debt10.5% - 34.4%22.45%
WACC21.5% - 28.7%25.1%
WACC

CRFSA.IS WACC calculation

CategoryLowHigh
Long-term bond rate21.4%21.9%
Equity market risk premium10.2%11.2%
Adjusted beta0.540.61
Additional risk adjustments0.0%0.5%
Cost of equity26.9%29.1%
Tax rate16.7%19.6%
Debt/Equity ratio
0.420.42
Cost of debt10.5%34.4%
After-tax WACC21.5%28.7%
Selected WACC25.1%

CRFSA.IS'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 CRFSA.IS:

cost_of_equity (28.00%) = risk_free_rate (21.65%) + equity_risk_premium (10.70%) * adjusted_beta (0.54) + 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.