CSQ.DE WACC - Weighted Average Cost of Capital
The WACC of Creditshelf AG (CSQ.DE) is 5.7%.
| Range | Selected | |
| Cost of equity | 5.0% - 7.2% | 6.1% |
| Tax rate | 0.5% - 1.0% | 0.75% |
| Cost of debt | 4.0% - 7.0% | 5.5% |
| WACC | 4.4% - 7.0% | 5.7% |
| Category | Low | High |
| Long-term bond rate | 2.6% | 3.1% |
| Equity market risk premium | 5.1% | 6.1% |
| Adjusted beta | 0.45 | 0.58 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 5.0% | 7.2% |
| Tax rate | 0.5% | 1.0% |
| Debt/Equity ratio | 1.23 | 1.23 |
| Cost of debt | 4.0% | 7.0% |
| After-tax WACC | 4.4% | 7.0% |
| Selected WACC | 5.7% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| CSQ.DE | Creditshelf AG | 1.23 | 6.35 | 2.85 |
| AFH.WA | Aforti Holding SA | 11.01 | 0 | 0 |
| CIN.L | City of London Group PLC | 0.27 | 0.41 | 0.32 |
| CRDFA.IS | Creditwest Faktoring AS | 1.26 | 0.31 | 0.14 |
| DFTK.DE | DF Deutsche Forfait AG | 0.94 | -0.27 | -0.14 |
| KLNMA.IS | Turkiye Kalkinma ve Yatirim Bankasi AS | 0.81 | -0.36 | -0.2 |
| LIDFA.IS | Lider Faktoring AS | 2.44 | 0.73 | 0.21 |
| ORCH.L | Orchard Funding Group PLC | 5.09 | -1.52 | -0.25 |
| PRF.WA | PragmaGO SA | 0.81 | 1.13 | 0.63 |
| TRU.L | TruFin PLC | 0.05 | 0.27 | 0.25 |
| TSKB.IS | Turkiye Sinai Kalkinma Bankasi AS | 10.5 | 0.64 | 0.06 |
| Low | High | |
| Unlevered beta | 0.06 | 0.21 |
| Relevered beta | 0.18 | 0.37 |
| Adjusted relevered beta | 0.45 | 0.58 |
CSQ.DE'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 CSQ.DE:
cost_of_equity (6.10%) = risk_free_rate (2.85%) + equity_risk_premium (5.60%) * adjusted_beta (0.45) + 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.