EVTI WACC - Weighted Average Cost of Capital
The WACC of Eventure Interactive Inc (EVTI) is 4.4%.
| Range | Selected | |
| Cost of equity | 22.6% - 929.7% | 476.15% |
| Tax rate | 27.0% - 27.0% | 27% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 3.7% - 5.1% | 4.4% |
| Category | Low | High |
| Long-term bond rate | 3.2% | 3.7% |
| Equity market risk premium | 4.2% | 5.2% |
| Adjusted beta | 4.59 | 176.64 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 22.6% | 929.7% |
| Tax rate | 27.0% | 27.0% |
| Debt/Equity ratio | 643.34 | 643.34 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 3.7% | 5.1% |
| Selected WACC | 4.4% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| EVTI | Eventure Interactive Inc | 643.34 | 0.94 | 0 |
| CRWG | Crowdgather Inc | 0.53 | -1.15 | -0.83 |
| FZRO | Flashzero Corp | 0 | -3.3 | -3.3 |
| GMER | Good Gaming Inc | 0.95 | -0.71 | -0.42 |
| ILIM | Il2m International Corp | 1.48 | -0.7 | -0.34 |
| MBO.V | Mobio Technologies Inc | 0.47 | -0.27 | -0.2 |
| MKT.V | Deepmarkit Corp | 0.07 | 0.96 | 0.91 |
| ZONX | Zonzia Media Inc | 2.74 | -74.65 | -24.88 |
| Low | High | |
| Unlevered beta | -0.5 | -0.31 |
| Relevered beta | 6.36 | 263.15 |
| Adjusted relevered beta | 4.59 | 176.64 |
EVTI'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 EVTI:
cost_of_equity (476.15%) = risk_free_rate (3.45%) + equity_risk_premium (4.70%) * adjusted_beta (4.59) + 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.