DGIK.JK WACC - Weighted Average Cost of Capital
The WACC of Nusa Konstruksi Enjiniring Tbk PT (DGIK.JK) is 11.8%.
| Range | Selected | |
| Cost of equity | 11.9% - 15.2% | 13.55% |
| Tax rate | 6.9% - 11.9% | 9.4% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 10.5% - 13.1% | 11.8% |
| Category | Low | High |
| Long-term bond rate | 6.6% | 7.1% |
| Equity market risk premium | 7.9% | 8.9% |
| Adjusted beta | 0.67 | 0.85 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 11.9% | 15.2% |
| Tax rate | 6.9% | 11.9% |
| Debt/Equity ratio | 0.23 | 0.23 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 10.5% | 13.1% |
| Selected WACC | 11.8% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| DGIK.JK | Nusa Konstruksi Enjiniring Tbk PT | 0.23 | 0.53 | 0.43 |
| ACST.JK | Acset Indonusa Tbk PT | 0.45 | 0.99 | 0.7 |
| IDPR.JK | Indonesia Pondasi Raya Tbk PT | 1.19 | 0.55 | 0.27 |
| JKON.JK | Jaya Konstruksi Manggala Pratama Tbk PT | 0.12 | 0.89 | 0.8 |
| NRCA.JK | Nusa Raya Cipta Tbk PT | 0.23 | 0.73 | 0.6 |
| PBSA.JK | Paramita Bangun Sarana Tbk PT | 0.01 | 1.06 | 1.05 |
| SSIA.JK | Surya Semesta Internusa Tbk PT | 0.11 | 0.45 | 0.41 |
| TOPS.JK | Totalindo Eka Persada Tbk PT | 12.59 | -0.83 | -0.07 |
| WEGE.JK | Wijaya Karya Bangunan Gedung Tbk PT | 0.99 | 1.36 | 0.72 |
| WSKT.JK | Waskita Karya (Persero) Tbk PT | 9.63 | 1.34 | 0.14 |
| Low | High | |
| Unlevered beta | 0.42 | 0.64 |
| Relevered beta | 0.51 | 0.78 |
| Adjusted relevered beta | 0.67 | 0.85 |
DGIK.JK'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 DGIK.JK:
cost_of_equity (13.55%) = risk_free_rate (6.85%) + equity_risk_premium (8.40%) * adjusted_beta (0.67) + 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.