The WACC of FedEx Corp (FDX) is 7.8%.
Range | Selected | |
Cost of equity | 7.70% - 10.30% | 9.00% |
Tax rate | 24.70% - 25.80% | 25.25% |
Cost of debt | 4.00% - 4.80% | 4.40% |
WACC | 6.7% - 8.8% | 7.8% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.83 | 0.96 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.70% | 10.30% |
Tax rate | 24.70% | 25.80% |
Debt/Equity ratio | 0.27 | 0.27 |
Cost of debt | 4.00% | 4.80% |
After-tax WACC | 6.7% | 8.8% |
Selected WACC | 7.8% | |