ENA.WA
Enea SA
Price:  
20.50 
PLN
Volume:  
189,068.00
Poland | Electric Utilities
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ENA.WA WACC - Weighted Average Cost of Capital

The WACC of Enea SA (ENA.WA) is 8.6%.

The Cost of Equity of Enea SA (ENA.WA) is 12.05%.
The Cost of Debt of Enea SA (ENA.WA) is 5.10%.

Range Selected
Cost of equity 10.50% - 13.60% 12.05%
Tax rate 15.90% - 33.00% 24.45%
Cost of debt 4.00% - 6.20% 5.10%
WACC 7.5% - 9.7% 8.6%
WACC

ENA.WA WACC calculation

Category Low High
Long-term bond rate 5.5% 6.0%
Equity market risk premium 6.3% 7.3%
Adjusted beta 0.78 0.97
Additional risk adjustments 0.0% 0.5%
Cost of equity 10.50% 13.60%
Tax rate 15.90% 33.00%
Debt/Equity ratio 0.71 0.71
Cost of debt 4.00% 6.20%
After-tax WACC 7.5% 9.7%
Selected WACC 8.6%

ENA.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 ENA.WA:

cost_of_equity (12.05%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (0.78) + 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.