The WACC of Discover Financial Services (DFS) is 7.4%.
| Range | Selected | |
| Cost of equity | 7.30% - 10.50% | 8.90% |
| Tax rate | 23.00% - 23.30% | 23.15% |
| Cost of debt | 5.00% - 5.00% | 5.00% |
| WACC | 6.3% - 8.6% | 7.4% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 0.76 | 1 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 7.30% | 10.50% |
| Tax rate | 23.00% | 23.30% |
| Debt/Equity ratio | 0.4 | 0.4 |
| Cost of debt | 5.00% | 5.00% |
| After-tax WACC | 6.3% | 8.6% |
| Selected WACC | 7.4% | |