EELT.ME
Yevropeyskaya Elektrotekhnika PAO
Price:  
19.26 
RUB
Volume:  
859,720.00
Russian Federation | Construction & Engineering
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EELT.ME WACC - Weighted Average Cost of Capital

The WACC of Yevropeyskaya Elektrotekhnika PAO (EELT.ME) is 22.5%.

The Cost of Equity of Yevropeyskaya Elektrotekhnika PAO (EELT.ME) is 22.80%.
The Cost of Debt of Yevropeyskaya Elektrotekhnika PAO (EELT.ME) is 16.40%.

Range Selected
Cost of equity 20.90% - 24.70% 22.80%
Tax rate 19.70% - 20.70% 20.20%
Cost of debt 16.40% - 16.40% 16.40%
WACC 20.7% - 24.4% 22.5%
WACC

EELT.ME WACC calculation

Category Low High
Long-term bond rate 15.8% 16.3%
Equity market risk premium 11.7% 12.7%
Adjusted beta 0.44 0.62
Additional risk adjustments 0.0% 0.5%
Cost of equity 20.90% 24.70%
Tax rate 19.70% 20.70%
Debt/Equity ratio 0.03 0.03
Cost of debt 16.40% 16.40%
After-tax WACC 20.7% 24.4%
Selected WACC 22.5%

EELT.ME'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 EELT.ME:

cost_of_equity (22.80%) = risk_free_rate (16.05%) + equity_risk_premium (12.20%) * adjusted_beta (0.44) + 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.