EBX.WA WACC - Weighted Average Cost of Capital

The WACC of Ekobox SA (EBX.WA) is 8.4%.

The Cost of Equity of Ekobox SA (EBX.WA) is 8.35%.

The Cost of Debt of Ekobox SA (EBX.WA) is 11.30%.

	Range	Selected
Cost of equity	7.60% - 9.10%	8.35%
Tax rate	8.40% - 11.20%	9.80%
Cost of debt	6.60% - 16.00%	11.30%
WACC	7.6% - 9.2%	8.4%

WACC

EBX.WA WACC calculation

Category	Low	High

Long-term bond rate	5.5%	6.0%
Equity market risk premium	6.3%	7.3%
Adjusted beta	0.33	0.36

Additional risk adjustments	0.0%	0.5%
Cost of equity	7.60%	9.10%

Tax rate	8.40%	11.20%
Debt/Equity ratio	0.02	0.02
Cost of debt	6.60%	16.00%

After-tax WACC	7.6%	9.2%


Selected WACC	8.4%

EBX.WA'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 EBX.WA:

cost_of_equity (8.35%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (0.33) + 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.