INTEK.AT WACC - Weighted Average Cost of Capital

The WACC of Ideal Group SA (INTEK.AT) is 8.6%.

The Cost of Equity of Ideal Group SA (INTEK.AT) is 9.35%.

The Cost of Debt of Ideal Group SA (INTEK.AT) is 14.20%.

	Range	Selected
Cost of equity	7.20% - 11.50%	9.35%
Tax rate	42.10% - 43.40%	42.75%
Cost of debt	8.60% - 19.80%	14.20%
WACC	5.9% - 11.3%	8.6%

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	0.44	0.74

Additional risk adjustments	0.0%	0.5%
Cost of equity	7.20%	11.50%

Tax rate	42.10%	43.40%
Debt/Equity ratio	1.25	1.25
Cost of debt	8.60%	19.80%

After-tax WACC	5.9%	11.3%


Selected WACC	8.6%

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 (9.35%) = risk_free_rate (3.55%) + equity_risk_premium (9.30%) * adjusted_beta (0.44) + 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.