EXE.PA WACC - Weighted Average Cost of Capital

The WACC of Exel Industries SA (EXE.PA) is 7.4%.

The Cost of Equity of Exel Industries SA (EXE.PA) is 10.95%.

The Cost of Debt of Exel Industries SA (EXE.PA) is 6.10%.

	Range	Selected
Cost of equity	9.40% - 12.50%	10.95%
Tax rate	26.40% - 27.80%	27.10%
Cost of debt	4.00% - 8.20%	6.10%
WACC	5.9% - 9.0%	7.4%

WACC

EXE.PA WACC calculation

Category	Low	High

Long-term bond rate	3.0%	3.5%
Equity market risk premium	5.8%	6.8%
Adjusted beta	1.11	1.25

Additional risk adjustments	0.0%	0.5%
Cost of equity	9.40%	12.50%

Tax rate	26.40%	27.80%
Debt/Equity ratio	1.17	1.17
Cost of debt	4.00%	8.20%

After-tax WACC	5.9%	9.0%


Selected WACC	7.4%

EXE.PA'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 EXE.PA:

cost_of_equity (10.95%) = risk_free_rate (3.25%) + equity_risk_premium (6.30%) * adjusted_beta (1.11) + 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.