GWRE
Guidewire Software Inc
Price:  
172.76 
USD
Volume:  
1,095,829.00
United States | Software
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GWRE WACC - Weighted Average Cost of Capital

The WACC of Guidewire Software Inc (GWRE) is 8.0%.

The Cost of Equity of Guidewire Software Inc (GWRE) is 8.05%.
The Cost of Debt of Guidewire Software Inc (GWRE) is 5.50%.

Range Selected
Cost of equity 6.90% - 9.20% 8.05%
Tax rate 20.80% - 27.40% 24.10%
Cost of debt 4.00% - 7.00% 5.50%
WACC 6.8% - 9.1% 8.0%
WACC

GWRE WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.67 0.77
Additional risk adjustments 0.0% 0.5%
Cost of equity 6.90% 9.20%
Tax rate 20.80% 27.40%
Debt/Equity ratio 0.03 0.03
Cost of debt 4.00% 7.00%
After-tax WACC 6.8% 9.1%
Selected WACC 8.0%