HOMB
Home BancShares Inc
Price:  
26.95 
USD
Volume:  
988,865.00
United States | Banks
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HOMB WACC - Weighted Average Cost of Capital

The WACC of Home BancShares Inc (HOMB) is 8.1%.

The Cost of Equity of Home BancShares Inc (HOMB) is 8.55%.
The Cost of Debt of Home BancShares Inc (HOMB) is 5.00%.

Range Selected
Cost of equity 7.50% - 9.60% 8.55%
Tax rate 23.10% - 23.30% 23.20%
Cost of debt 5.00% - 5.00% 5.00%
WACC 7.2% - 9.0% 8.1%
WACC

HOMB WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.8 0.84
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.50% 9.60%
Tax rate 23.10% 23.30%
Debt/Equity ratio 0.11 0.11
Cost of debt 5.00% 5.00%
After-tax WACC 7.2% 9.0%
Selected WACC 8.1%