EL
Estee Lauder Companies Inc
Price:  
69.67 
USD
Volume:  
3,738,975.00
United States | Personal Products
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EL WACC - Weighted Average Cost of Capital

The WACC of Estee Lauder Companies Inc (EL) is 7.4%.

The Cost of Equity of Estee Lauder Companies Inc (EL) is 8.75%.
The Cost of Debt of Estee Lauder Companies Inc (EL) is 4.65%.

Range Selected
Cost of equity 7.70% - 9.80% 8.75%
Tax rate 24.90% - 30.00% 27.45%
Cost of debt 4.00% - 5.30% 4.65%
WACC 6.5% - 8.3% 7.4%
WACC

EL WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.83 0.88
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.70% 9.80%
Tax rate 24.90% 30.00%
Debt/Equity ratio 0.33 0.33
Cost of debt 4.00% 5.30%
After-tax WACC 6.5% 8.3%
Selected WACC 7.4%