ETILR.IS WACC - Weighted Average Cost of Capital

The WACC of Etiler Gida ve Ticari Yatirimlar Sanayi ve Ticaret AS (ETILR.IS) is 27.5%.

The Cost of Equity of Etiler Gida ve Ticari Yatirimlar Sanayi ve Ticaret AS (ETILR.IS) is 27.65%.

The Cost of Debt of Etiler Gida ve Ticari Yatirimlar Sanayi ve Ticaret AS (ETILR.IS) is 5.00%.

	Range	Selected
Cost of equity	26.70% - 28.60%	27.65%
Tax rate	6.30% - 8.40%	7.35%
Cost of debt	5.00% - 5.00%	5.00%
WACC	26.6% - 28.5%	27.5%

WACC

ETILR.IS WACC calculation

Category	Low	High

Long-term bond rate	21.4%	21.9%
Equity market risk premium	10.2%	11.2%
Adjusted beta	0.52	0.55

Additional risk adjustments	0.0%	0.5%
Cost of equity	26.70%	28.60%

Tax rate	6.30%	8.40%
Debt/Equity ratio	0	0
Cost of debt	5.00%	5.00%

After-tax WACC	26.6%	28.5%


Selected WACC	27.5%

ETILR.IS'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 ETILR.IS:

cost_of_equity (27.65%) = risk_free_rate (21.65%) + equity_risk_premium (10.70%) * adjusted_beta (0.52) + 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.