The WACC of InterContinental Hotels Group PLC (IHG.L) is 7.4%.
Range | Selected | |
Cost of equity | 7.30% - 9.00% | 8.15% |
Tax rate | 26.30% - 27.50% | 26.90% |
Cost of debt | 4.00% - 4.90% | 4.45% |
WACC | 6.7% - 8.2% | 7.4% |
Category | Low | High |
Long-term bond rate | 4.0% | 4.5% |
Equity market risk premium | 6.0% | 7.0% |
Adjusted beta | 0.55 | 0.58 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.30% | 9.00% |
Tax rate | 26.30% | 27.50% |
Debt/Equity ratio | 0.18 | 0.18 |
Cost of debt | 4.00% | 4.90% |
After-tax WACC | 6.7% | 8.2% |
Selected WACC | 7.4% | |