DWGL.JK WACC - Weighted Average Cost of Capital
The WACC of Dwi Guna Laksana Tbk PT (DWGL.JK) is 13.2%.
| Range | Selected | |
| Cost of equity | 12.8% - 15.1% | 13.95% |
| Tax rate | 22.0% - 23.2% | 22.6% |
| Cost of debt | 4.0% - 7.0% | 5.5% |
| WACC | 12.1% - 14.4% | 13.2% |
| Category | Low | High |
| Long-term bond rate | 6.6% | 7.1% |
| Equity market risk premium | 7.9% | 8.9% |
| Adjusted beta | 0.79 | 0.85 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 12.8% | 15.1% |
| Tax rate | 22.0% | 23.2% |
| Debt/Equity ratio | 0.08 | 0.08 |
| Cost of debt | 4.0% | 7.0% |
| After-tax WACC | 12.1% | 14.4% |
| Selected WACC | 13.2% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| DWGL.JK | Dwi Guna Laksana Tbk PT | 0.08 | 0.3 | 0.28 |
| ARII.JK | Atlas Resources Tbk PT | 1.47 | -0.01 | -0.01 |
| CNKO.JK | Exploitasi Energi Indonesia Tbk PT | 0.58 | 1.03 | 0.71 |
| FIRE.JK | Alfa Energi Investama Tbk PT | 0.02 | 0.72 | 0.71 |
| GTBO.JK | Garda Tujuh Buana Tbk PT | 0.03 | 1.15 | 1.13 |
| KKGI.JK | Resource Alam Indonesia Tbk PT | 0.02 | 0.81 | 0.8 |
| MYOH.JK | Samindo Resources Tbk PT | 0.1 | -0.43 | -0.4 |
| PTBA.JK | Bukit Asam Tbk PT | 0.07 | 0.57 | 0.54 |
| SQMI.JK | PT Wilton Makmur Indonesia Tbk | 0.42 | 1.22 | 0.92 |
| UNTR.JK | United Tractors Tbk PT | 0.25 | 0.89 | 0.75 |
| Low | High | |
| Unlevered beta | 0.64 | 0.72 |
| Relevered beta | 0.69 | 0.78 |
| Adjusted relevered beta | 0.79 | 0.85 |
DWGL.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 DWGL.JK:
cost_of_equity (13.95%) = risk_free_rate (6.85%) + equity_risk_premium (8.40%) * adjusted_beta (0.79) + 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.