KASH.CN
Intellabridge Technology Corp
Price:  
0.04 
CAD
Volume:  
56,690
Canada | Information

KASH.CN WACC - Weighted Average Cost of Capital

The WACC of Intellabridge Technology Corp (KASH.CN) is 19.4%.

The Cost of Equity of Intellabridge Technology Corp (KASH.CN) is 33.65%.
The Cost of Debt of Intellabridge Technology Corp (KASH.CN) is 7%.

RangeSelected
Cost of equity30.5% - 36.8%33.65%
Tax rate25.9% - 26.5%26.2%
Cost of debt7.0% - 7.0%7%
WACC17.8% - 21.0%19.4%
WACC

KASH.CN WACC calculation

CategoryLowHigh
Long-term bond rate3.2%3.7%
Equity market risk premium5.1%6.1%
Adjusted beta5.365.36
Additional risk adjustments0.0%0.5%
Cost of equity30.5%36.8%
Tax rate25.9%26.5%
Debt/Equity ratio
11
Cost of debt7.0%7.0%
After-tax WACC17.8%21.0%
Selected WACC19.4%

KASH.CN WACC - Detailed calculations of Beta

Debt/EquityUnlevered
PeersCompany NameratioBetabeta
KASH.CNIntellabridge Technology Corp1.094.352.41
LowHigh
Unlevered beta2.412.41
Relevered beta7.517.51
Adjusted relevered beta5.365.36

KASH.CN'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 KASH.CN:

cost_of_equity (33.65%) = risk_free_rate (3.45%) + equity_risk_premium (5.60%) * adjusted_beta (5.36) + 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.