The WACC of Houlihan Lokey Inc (HLI) is 6.8%.
Range | Selected | |
Cost of equity | 5.50% - 8.10% | 6.80% |
Tax rate | 23.00% - 25.10% | 24.05% |
Cost of debt | 4.50% - 9.50% | 7.00% |
WACC | 5.5% - 8.1% | 6.8% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.36 | 0.58 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 5.50% | 8.10% |
Tax rate | 23.00% | 25.10% |
Debt/Equity ratio | 0 | 0 |
Cost of debt | 4.50% | 9.50% |
After-tax WACC | 5.5% | 8.1% |
Selected WACC | 6.8% | |