DUNAHOUSE.BD WACC - Weighted Average Cost of Capital

The WACC of Duna House Holding Nyrt (DUNAHOUSE.BD) is 10.3%.

The Cost of Equity of Duna House Holding Nyrt (DUNAHOUSE.BD) is 12.05%.

The Cost of Debt of Duna House Holding Nyrt (DUNAHOUSE.BD) is 5.75%.

	Range	Selected
Cost of equity	10.60% - 13.50%	12.05%
Tax rate	20.50% - 23.20%	21.85%
Cost of debt	4.20% - 7.30%	5.75%
WACC	8.9% - 11.7%	10.3%

WACC

DUNAHOUSE.BD WACC calculation

Category	Low	High

Long-term bond rate	6.4%	6.9%
Equity market risk premium	7.9%	8.9%
Adjusted beta	0.53	0.68

Additional risk adjustments	0.0%	0.5%
Cost of equity	10.60%	13.50%

Tax rate	20.50%	23.20%
Debt/Equity ratio	0.3	0.3
Cost of debt	4.20%	7.30%

After-tax WACC	8.9%	11.7%


Selected WACC	10.3%

DUNAHOUSE.BD'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 DUNAHOUSE.BD:

cost_of_equity (12.05%) = risk_free_rate (6.65%) + equity_risk_premium (8.40%) * adjusted_beta (0.53) + 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.