DBD
Diebold Nixdorf Inc
Price:  
60.21 
USD
Volume:  
402,680.00
United States | Technology Hardware, Storage & Peripherals
Valuation
Overview
Financials
Forecast
Compare
Historical Price
SolvencyDividends
Transactions
People

DBD WACC - Weighted Average Cost of Capital

The WACC of Diebold Nixdorf Inc (DBD) is 7.9%.

The Cost of Equity of Diebold Nixdorf Inc (DBD) is 9.00%.
The Cost of Debt of Diebold Nixdorf Inc (DBD) is 8.05%.

Range Selected
Cost of equity 7.70% - 10.30% 9.00%
Tax rate 22.50% - 42.30% 32.40%
Cost of debt 7.50% - 8.60% 8.05%
WACC 7.1% - 8.7% 7.9%
WACC

DBD WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.84 0.98
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.70% 10.30%
Tax rate 22.50% 42.30%
Debt/Equity ratio 0.43 0.43
Cost of debt 7.50% 8.60%
After-tax WACC 7.1% 8.7%
Selected WACC 7.9%

DBD'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 DBD:

cost_of_equity (9.00%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (0.84) + 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.