GWRE
Guidewire Software Inc
Price:  
101.59 
USD
Volume:  
478,515.00
United States | Software
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GWRE WACC - Weighted Average Cost of Capital

The WACC of Guidewire Software Inc (GWRE) is 9.6%.

The Cost of Equity of Guidewire Software Inc (GWRE) is 9.90%.
The Cost of Debt of Guidewire Software Inc (GWRE) is 5.50%.

Range Selected
Cost of equity 8.60% - 11.20% 9.90%
Tax rate 20.80% - 27.40% 24.10%
Cost of debt 4.00% - 7.00% 5.50%
WACC 8.4% - 10.9% 9.6%
WACC

GWRE WACC calculation

Category Low High
Long-term bond rate 4.2% 4.7%
Equity market risk premium 5.0% 6.0%
Adjusted beta 0.89 1
Additional risk adjustments 0.0% 0.5%
Cost of equity 8.60% 11.20%
Tax rate 20.80% 27.40%
Debt/Equity ratio 0.05 0.05
Cost of debt 4.00% 7.00%
After-tax WACC 8.4% 10.9%
Selected WACC 9.6%