HCG.TO
Home Capital Group Inc
Price:  
44.26 
CAD
Volume:  
185,572.00
Canada | Thrifts & Mortgage Finance
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HCG.TO WACC - Weighted Average Cost of Capital

The WACC of Home Capital Group Inc (HCG.TO) is 5.7%.

The Cost of Equity of Home Capital Group Inc (HCG.TO) is 11.40%.
The Cost of Debt of Home Capital Group Inc (HCG.TO) is 5.00%.

Range Selected
Cost of equity 7.80% - 15.00% 11.40%
Tax rate 26.60% - 26.70% 26.65%
Cost of debt 5.00% - 5.00% 5.00%
WACC 4.8% - 6.7% 5.7%
WACC

HCG.TO WACC calculation

Category Low High
Long-term bond rate 3.3% 3.8%
Equity market risk premium 5.1% 6.1%
Adjusted beta 0.9 1.75
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.80% 15.00%
Tax rate 26.60% 26.70%
Debt/Equity ratio 2.76 2.76
Cost of debt 5.00% 5.00%
After-tax WACC 4.8% 6.7%
Selected WACC 5.7%