The WACC of Diversified Royalty Corp (DIV.TO) is 6.0%.
Range | Selected | |
Cost of equity | 5.50% - 8.20% | 6.85% |
Tax rate | 27.70% - 28.40% | 28.05% |
Cost of debt | 4.90% - 6.20% | 5.55% |
WACC | 4.9% - 7.1% | 6.0% |
Category | Low | High |
Long-term bond rate | 3.2% | 3.7% |
Equity market risk premium | 5.1% | 6.1% |
Adjusted beta | 0.46 | 0.66 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 5.50% | 8.20% |
Tax rate | 27.70% | 28.40% |
Debt/Equity ratio | 0.4 | 0.4 |
Cost of debt | 4.90% | 6.20% |
After-tax WACC | 4.9% | 7.1% |
Selected WACC | 6.0% | |