HARY.CN
Harrys Manufacturing Inc
Price:  
0.03 
CAD
Volume:  
1,800.00
Canada | Metals & Mining
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HARY.CN WACC - Weighted Average Cost of Capital

The WACC of Harrys Manufacturing Inc (HARY.CN) is 5.1%.

The Cost of Equity of Harrys Manufacturing Inc (HARY.CN) is 6.55%.
The Cost of Debt of Harrys Manufacturing Inc (HARY.CN) is 5.00%.

Range Selected
Cost of equity 4.60% - 8.50% 6.55%
Tax rate 25.90% - 26.50% 26.20%
Cost of debt 5.00% - 5.00% 5.00%
WACC 4.1% - 6.1% 5.1%
WACC

HARY.CN WACC calculation

Category Low High
Long-term bond rate 3.2% 3.7%
Equity market risk premium 5.1% 6.1%
Adjusted beta -0.02 0.47
Additional risk adjustments 1.5% 2.0%
Cost of equity 4.60% 8.50%
Tax rate 25.90% 26.50%
Debt/Equity ratio 1 1
Cost of debt 5.00% 5.00%
After-tax WACC 4.1% 6.1%
Selected WACC 5.1%

HARY.CN'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 HARY.CN:

cost_of_equity (6.55%) = risk_free_rate (3.45%) + equity_risk_premium (5.60%) * adjusted_beta (-0.02) + risk_adjustments (1.75%)

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