INCR.TA WACC - Weighted Average Cost of Capital
The WACC of InterCure Ltd (INCR.TA) is 24.8%.
| Range | Selected | |
| Cost of equity | 9.8% - 12.7% | 11.25% |
| Tax rate | 5.0% - 7.7% | 6.35% |
| Cost of debt | 7.0% - 77.3% | 42.15% |
| WACC | 8.3% - 41.3% | 24.8% |
| Category | Low | High |
| Long-term bond rate | 4.8% | 5.3% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.81 | 0.97 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 9.8% | 12.7% |
| Tax rate | 5.0% | 7.7% |
| Debt/Equity ratio | 0.95 | 0.95 |
| Cost of debt | 7.0% | 77.3% |
| After-tax WACC | 8.3% | 41.3% |
| Selected WACC | 24.8% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| INCR.TA | InterCure Ltd | 0.95 | 1.67 | 0.88 |
| 058110.KQ | Mek ICS Co Ltd | 0.53 | 0.42 | 0.28 |
| 1696.HK | Sisram Medical Ltd | 0.18 | 1.1 | 0.94 |
| 305090.KQ | Micro Digital Co Ltd | 0.08 | 0.48 | 0.45 |
| CSX.AX | Cleanspace Holdings Ltd | 0.11 | -0.69 | -0.63 |
| EFNC.TA | Erech Finance Cahalacha Ltd | 3.18 | 0.16 | 0.04 |
| EMTC.TA | Elbit Medical Technologies Ltd | 0.78 | 0.78 | 0.45 |
| ENDY.TA | Endymed Ltd | 0.03 | 0.66 | 0.64 |
| ICB.TA | Israel China Biotechnology Icb Ltd | 0.09 | 0.64 | 0.59 |
| ITMR.TA | Itamar Medical Ltd | 0.02 | 0.61 | 0.6 |
| MX1.AX | Micro-X Ltd | 0.1 | -0.44 | -0.4 |
| Low | High | |
| Unlevered beta | 0.45 | 0.59 |
| Relevered beta | 0.72 | 0.96 |
| Adjusted relevered beta | 0.81 | 0.97 |
INCR.TA'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 INCR.TA:
cost_of_equity (11.25%) = risk_free_rate (5.05%) + equity_risk_premium (6.60%) * adjusted_beta (0.81) + 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.