The WACC of Gap Inc (GPS) is 10.6%.
Range | Selected | |
Cost of equity | 10.10% - 13.20% | 11.65% |
Tax rate | 27.20% - 28.10% | 27.65% |
Cost of debt | 4.60% - 7.20% | 5.90% |
WACC | 9.1% - 12.1% | 10.6% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 1.35 | 1.48 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 10.10% | 13.20% |
Tax rate | 27.20% | 28.10% |
Debt/Equity ratio | 0.16 | 0.16 |
Cost of debt | 4.60% | 7.20% |
After-tax WACC | 9.1% | 12.1% |
Selected WACC | 10.6% | |