DHOUSE.BK WACC - Weighted Average Cost of Capital

The WACC of Dhouse Pattana PCL (DHOUSE.BK) is 7.9%.

The Cost of Equity of Dhouse Pattana PCL (DHOUSE.BK) is 6.65%.

The Cost of Debt of Dhouse Pattana PCL (DHOUSE.BK) is 11.80%.

	Range	Selected
Cost of equity	5.40% - 7.90%	6.65%
Tax rate	7.90% - 12.70%	10.30%
Cost of debt	4.00% - 19.60%	11.80%
WACC	4.8% - 11.1%	7.9%

WACC

DHOUSE.BK WACC calculation

Category	Low	High

Long-term bond rate	2.6%	3.1%
Equity market risk premium	7.4%	8.4%
Adjusted beta	0.38	0.51

Additional risk adjustments	0.0%	0.5%
Cost of equity	5.40%	7.90%

Tax rate	7.90%	12.70%
Debt/Equity ratio	0.55	0.55
Cost of debt	4.00%	19.60%

After-tax WACC	4.8%	11.1%


Selected WACC	7.9%

DHOUSE.BK'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 DHOUSE.BK:

cost_of_equity (6.65%) = risk_free_rate (2.85%) + equity_risk_premium (7.90%) * adjusted_beta (0.38) + 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.