The WACC of Eaton Corporation PLC (ETN) is 8.5%.
Range | Selected | |
Cost of equity | 7.30% - 10.40% | 8.85% |
Tax rate | 15.60% - 17.10% | 16.35% |
Cost of debt | 4.00% - 4.50% | 4.25% |
WACC | 7.1% - 9.9% | 8.5% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.75 | 0.99 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.30% | 10.40% |
Tax rate | 15.60% | 17.10% |
Debt/Equity ratio | 0.07 | 0.07 |
Cost of debt | 4.00% | 4.50% |
After-tax WACC | 7.1% | 9.9% |
Selected WACC | 8.5% | |