INTR.TA WACC - Weighted Average Cost of Capital

The WACC of Inter Gamma Investment Company Ltd (INTR.TA) is 11.7%.

The Cost of Equity of Inter Gamma Investment Company Ltd (INTR.TA) is 12.05%.

The Cost of Debt of Inter Gamma Investment Company Ltd (INTR.TA) is 11.45%.

	Range	Selected
Cost of equity	10.30% - 13.80%	12.05%
Tax rate	19.60% - 22.40%	21.00%
Cost of debt	8.40% - 14.50%	11.45%
WACC	9.9% - 13.5%	11.7%

WACC

INTR.TA WACC calculation

Category	Low	High

Long-term bond rate	4.8%	5.3%
Equity market risk premium	6.1%	7.1%
Adjusted beta	0.88	1.11

Additional risk adjustments	0.0%	0.5%
Cost of equity	10.30%	13.80%

Tax rate	19.60%	22.40%
Debt/Equity ratio	0.12	0.12
Cost of debt	8.40%	14.50%

After-tax WACC	9.9%	13.5%


Selected WACC	11.7%

INTR.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 INTR.TA:

cost_of_equity (12.05%) = risk_free_rate (5.05%) + equity_risk_premium (6.60%) * adjusted_beta (0.88) + 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.