IFMK
iFresh Inc
Price:  
0.49 
USD
Volume:  
6,903,334
United States | Food & Staples Retailing

IFMK WACC - Weighted Average Cost of Capital

The WACC of iFresh Inc (IFMK) is 7.0%.

The Cost of Equity of iFresh Inc (IFMK) is 2665.55%.
The Cost of Debt of iFresh Inc (IFMK) is 7%.

RangeSelected
Cost of equity1806.2% - 3524.9%2665.55%
Tax rate8.8% - 24.6%16.7%
Cost of debt7.0% - 7.0%7%
WACC7.2% - 6.9%7.0%
WACC

IFMK WACC calculation

CategoryLowHigh
Long-term bond rate3.9%4.4%
Equity market risk premium4.6%5.6%
Adjusted beta391.81628.57
Additional risk adjustments0.0%0.5%
Cost of equity1806.2%3524.9%
Tax rate8.8%24.6%
Debt/Equity ratio
2148.132148.13
Cost of debt7.0%7.0%
After-tax WACC7.2%6.9%
Selected WACC7.0%

IFMK'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 IFMK:

cost_of_equity (2,665.55%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (391.81) + risk_adjustments (0.25%)

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