The WACC of Hooker Furniture Corp (HOFT) is 7.3%.
Range | Selected | |
Cost of equity | 6.20% - 9.40% | 7.80% |
Tax rate | 22.30% - 24.70% | 23.50% |
Cost of debt | 4.90% - 4.90% | 4.90% |
WACC | 5.9% - 8.7% | 7.3% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.51 | 0.8 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.20% | 9.40% |
Tax rate | 22.30% | 24.70% |
Debt/Equity ratio | 0.14 | 0.14 |
Cost of debt | 4.90% | 4.90% |
After-tax WACC | 5.9% | 8.7% |
Selected WACC | 7.3% | |