HAMAT.TA WACC - Weighted Average Cost of Capital

The WACC of Hamat Group Ltd (HAMAT.TA) is 9.3%.

The Cost of Equity of Hamat Group Ltd (HAMAT.TA) is 12.85%.

The Cost of Debt of Hamat Group Ltd (HAMAT.TA) is 6.20%.

	Range	Selected
Cost of equity	9.90% - 15.80%	12.85%
Tax rate	17.50% - 19.00%	18.25%
Cost of debt	4.00% - 8.40%	6.20%
WACC	6.9% - 11.7%	9.3%

WACC

HAMAT.TA WACC calculation

Category	Low	High

Long-term bond rate	4.8%	5.3%
Equity market risk premium	6.1%	7.1%
Adjusted beta	0.83	1.4

Additional risk adjustments	0.0%	0.5%
Cost of equity	9.90%	15.80%

Tax rate	17.50%	19.00%
Debt/Equity ratio	0.84	0.84
Cost of debt	4.00%	8.40%

After-tax WACC	6.9%	11.7%


Selected WACC	9.3%

HAMAT.TA'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 HAMAT.TA:

cost_of_equity (12.85%) = risk_free_rate (5.05%) + equity_risk_premium (6.60%) * adjusted_beta (0.83) + risk_adjustments (0.25%)

We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.