GEBKA.AT
General Commercial and Industrial SA
Price:  
1.44 
EUR
Volume:  
8,770.00
Greece | Trading Companies & Distributors
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GEBKA.AT WACC - Weighted Average Cost of Capital

The WACC of General Commercial and Industrial SA (GEBKA.AT) is 5.4%.

The Cost of Equity of General Commercial and Industrial SA (GEBKA.AT) is 7.45%.
The Cost of Debt of General Commercial and Industrial SA (GEBKA.AT) is 4.45%.

Range Selected
Cost of equity 6.10% - 8.80% 7.45%
Tax rate 25.60% - 26.30% 25.95%
Cost of debt 4.00% - 4.90% 4.45%
WACC 4.6% - 6.2% 5.4%
WACC

GEBKA.AT WACC calculation

Category Low High
Long-term bond rate 3.3% 3.8%
Equity market risk premium 8.8% 9.8%
Adjusted beta 0.32 0.46
Additional risk adjustments 0.0% 0.5%
Cost of equity 6.10% 8.80%
Tax rate 25.60% 26.30%
Debt/Equity ratio 1 1
Cost of debt 4.00% 4.90%
After-tax WACC 4.6% 6.2%
Selected WACC 5.4%

GEBKA.AT'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 GEBKA.AT:

cost_of_equity (7.45%) = risk_free_rate (3.55%) + equity_risk_premium (9.30%) * adjusted_beta (0.32) + 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.