IPG
Interpublic Group of Companies Inc
Price:  
28.80 
USD
Volume:  
4,999,219.00
United States | Media
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IPG WACC - Weighted Average Cost of Capital

The WACC of Interpublic Group of Companies Inc (IPG) is 8.1%.

The Cost of Equity of Interpublic Group of Companies Inc (IPG) is 9.30%.
The Cost of Debt of Interpublic Group of Companies Inc (IPG) is 5.45%.

Range Selected
Cost of equity 8.00% - 10.60% 9.30%
Tax rate 20.70% - 21.70% 21.20%
Cost of debt 4.90% - 6.00% 5.45%
WACC 7.0% - 9.2% 8.1%
WACC

IPG WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.9 1.02
Additional risk adjustments 0.0% 0.5%
Cost of equity 8.00% 10.60%
Tax rate 20.70% 21.70%
Debt/Equity ratio 0.3 0.3
Cost of debt 4.90% 6.00%
After-tax WACC 7.0% 9.2%
Selected WACC 8.1%