The WACC of Hydro One Ltd (H.TO) is 5.4%.
Range | Selected | |
Cost of equity | 5.50% - 7.50% | 6.50% |
Tax rate | 14.90% - 17.80% | 16.35% |
Cost of debt | 4.00% - 4.50% | 4.25% |
WACC | 4.7% - 6.0% | 5.4% |
Category | Low | High |
Long-term bond rate | 3.2% | 3.7% |
Equity market risk premium | 5.1% | 6.1% |
Adjusted beta | 0.46 | 0.55 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 5.50% | 7.50% |
Tax rate | 14.90% | 17.80% |
Debt/Equity ratio | 0.62 | 0.62 |
Cost of debt | 4.00% | 4.50% |
After-tax WACC | 4.7% | 6.0% |
Selected WACC | 5.4% | |