The WACC of Group 1 Automotive Inc (GPI) is 7.0%.
Range | Selected | |
Cost of equity | 7.70% - 10.30% | 9.00% |
Tax rate | 22.90% - 23.90% | 23.40% |
Cost of debt | 4.00% - 5.30% | 4.65% |
WACC | 6.0% - 8.0% | 7.0% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.84 | 0.96 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.70% | 10.30% |
Tax rate | 22.90% | 23.90% |
Debt/Equity ratio | 0.59 | 0.59 |
Cost of debt | 4.00% | 5.30% |
After-tax WACC | 6.0% | 8.0% |
Selected WACC | 7.0% | |