The WACC of Groupon Inc (GRPN) is 7.0%.
Range | Selected | |
Cost of equity | 7.20% - 10.00% | 8.60% |
Tax rate | 15.50% - 22.00% | 18.75% |
Cost of debt | 4.00% - 5.30% | 4.65% |
WACC | 5.9% - 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 | 0.72 | 0.92 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.20% | 10.00% |
Tax rate | 15.50% | 22.00% |
Debt/Equity ratio | 0.52 | 0.52 |
Cost of debt | 4.00% | 5.30% |
After-tax WACC | 5.9% | 8.0% |
Selected WACC | 7.0% | |