DLTA.PA
Delta Plus Group SA
Price:  
84.5 
EUR
Volume:  
3,745
France | Commercial Services & Supplies

DLTA.PA WACC - Weighted Average Cost of Capital

The WACC of Delta Plus Group SA (DLTA.PA) is 6.7%.

The Cost of Equity of Delta Plus Group SA (DLTA.PA) is 7.45%.
The Cost of Debt of Delta Plus Group SA (DLTA.PA) is 5%.

RangeSelected
Cost of equity6.1% - 8.8%7.45%
Tax rate22.5% - 23.1%22.8%
Cost of debt5.0% - 5.0%5%
WACC5.6% - 7.8%6.7%
WACC

DLTA.PA WACC calculation

CategoryLowHigh
Long-term bond rate2.6%3.1%
Equity market risk premium5.2%6.2%
Adjusted beta0.670.83
Additional risk adjustments0.0%0.5%
Cost of equity6.1%8.8%
Tax rate22.5%23.1%
Debt/Equity ratio
0.260.26
Cost of debt5.0%5.0%
After-tax WACC5.6%7.8%
Selected WACC6.7%

DLTA.PA'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 DLTA.PA:

cost_of_equity (7.45%) = risk_free_rate (2.85%) + equity_risk_premium (5.70%) * 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.