GENESYS.NS
Genesys International Corporation Ltd
Price:  
638.25 
INR
Volume:  
95,178
India | IT Services

GENESYS.NS WACC - Weighted Average Cost of Capital

The WACC of Genesys International Corporation Ltd (GENESYS.NS) is 15.0%.

The Cost of Equity of Genesys International Corporation Ltd (GENESYS.NS) is 15.3%.
The Cost of Debt of Genesys International Corporation Ltd (GENESYS.NS) is 10.65%.

RangeSelected
Cost of equity11.5% - 19.1%15.3%
Tax rate23.5% - 35.4%29.45%
Cost of debt7.6% - 13.7%10.65%
WACC11.3% - 18.6%15.0%
WACC

GENESYS.NS WACC calculation

CategoryLowHigh
Long-term bond rate6.9%7.4%
Equity market risk premium8.3%9.3%
Adjusted beta0.561.21
Additional risk adjustments0.0%0.5%
Cost of equity11.5%19.1%
Tax rate23.5%35.4%
Debt/Equity ratio
0.050.05
Cost of debt7.6%13.7%
After-tax WACC11.3%18.6%
Selected WACC15.0%

GENESYS.NS'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 GENESYS.NS:

cost_of_equity (15.30%) = risk_free_rate (7.15%) + equity_risk_premium (8.80%) * adjusted_beta (0.56) + 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.