The WACC of Intermap Technologies Corp (IMP.TO) is 5.8%.
Range | Selected | |
Cost of equity | 4.8% - 6.8% | 5.8% |
Tax rate | 0.0% - 0.3% | 0.15% |
Cost of debt | 4.0% - 4.5% | 4.25% |
WACC | 4.8% - 6.8% | 5.8% |
Category | Low | High |
Long-term bond rate | 3.2% | 3.7% |
Equity market risk premium | 5.1% | 6.1% |
Adjusted beta | 0.33 | 0.44 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 4.8% | 6.8% |
Tax rate | 0.0% | 0.3% |
Debt/Equity ratio | 0.01 | 0.01 |
Cost of debt | 4.0% | 4.5% |
After-tax WACC | 4.8% | 6.8% |
Selected WACC | 5.8% | |
Debt/Equity | Unlevered | |||
Peers | Company Name | ratio | Beta | beta |
IMP.TO | Intermap Technologies Corp | 0.01 | 3.29 | 3.25 |
BTV.V | BlueRush Inc | 13.03 | 1.97 | 0.14 |
FORT.V | Fortress Blockchain Corp | 0.02 | 1.96 | 1.92 |
GOK.V | Ginsms Inc | 1.13 | 1.21 | 0.57 |
MCLD.V | mCloud Technologies Corp | 4.99 | -1.29 | -0.22 |
NPA.V | Alphinat Inc | 0.03 | 0.97 | 0.94 |
SCDA | B-Scada Inc | 0.04 | 0 | 0 |
UI.V | Urbanimmersive Inc | 2.62 | 0.68 | 0.19 |
UP.CN | UpSnap Inc | 0.63 | 0 | 0 |
Low | High | |
Unlevered beta | 0.15 | 0.49 |
Relevered beta | 0 | 0.16 |
Adjusted relevered beta | 0.33 | 0.44 |
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 IMP.TO:
cost_of_equity (5.80%) = risk_free_rate (3.45%) + equity_risk_premium (5.60%) * adjusted_beta (0.33) + 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.