INTEK.AT WACC - Weighted Average Cost of Capital

The WACC of Ideal Group SA (INTEK.AT) is 7.1%.

The Cost of Equity of Ideal Group SA (INTEK.AT) is 12.65%.

The Cost of Debt of Ideal Group SA (INTEK.AT) is 5.25%.

	Range	Selected
Cost of equity	10.70% - 14.60%	12.65%
Tax rate	24.80% - 36.10%	30.45%
Cost of debt	4.00% - 6.50%	5.25%
WACC	5.9% - 8.2%	7.1%

WACC

INTEK.AT WACC calculation

Category	Low	High

Long-term bond rate	3.3%	3.8%
Equity market risk premium	8.8%	9.8%
Adjusted beta	0.84	1.05

Additional risk adjustments	0.0%	0.5%
Cost of equity	10.70%	14.60%

Tax rate	24.80%	36.10%
Debt/Equity ratio	1.6	1.6
Cost of debt	4.00%	6.50%

After-tax WACC	5.9%	8.2%


Selected WACC	7.1%

INTEK.AT'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 INTEK.AT:

cost_of_equity (12.65%) = risk_free_rate (3.55%) + equity_risk_premium (9.30%) * adjusted_beta (0.84) + 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.