GWSN WACC - Weighted Average Cost of Capital
The WACC of Gulf West Security Network Inc (GWSN) is 3.8%.
| Range | Selected | |
| Cost of equity | 3.1% - 260902.0% | 130452.55% |
| Tax rate | 26.2% - 27.0% | 26.6% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 3.7% - 3.9% | 3.8% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | -1239.83 | 45570.47 |
| Additional risk adjustments | 5702.5% | 5703.0% |
| Cost of equity | 3.1% | 260902.0% |
| Tax rate | 26.2% | 27.0% |
| Debt/Equity ratio | 937720 | 937720 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 3.7% | 3.9% |
| Selected WACC | 3.8% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| GWSN | Gulf West Security Network Inc | 937720 | -2.09 | 0 |
| ADMG | Adamant DRI Processing and Minerals Group | 2.49 | -0.37 | -0.13 |
| GCCC.V | GCC Global Capital Corp | 4.35 | 1.09 | 0.26 |
| NTPY | Netpay International Inc | 54.41 | -0.55 | -0.01 |
| PRKV | ParkVida Group Inc | 0.09 | 0.22 | 0.21 |
| SLTN | Silverton Energy Inc | 0 | 1.44 | 1.43 |
| TIP.H.V | Tyner Resources Ltd | 0.08 | 0.08 | 0.07 |
| ZENO | Zenosense Inc | 18.93 | -0.27 | -0.02 |
| Low | High | |
| Unlevered beta | 0 | 0.1 |
| Relevered beta | -1850.99 | 68015.13 |
| Adjusted relevered beta | -1239.83 | 45570.47 |
GWSN's CAPM model and how its cost of Equity is calculated
The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.
This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.
Here’s how we figure out the cost of equity for GWSN:
cost_of_equity (130,452.55%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (-1239.83) + risk_adjustments (5,702.75%)
We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.