KBH
KB Home
Price:  
63.68 
USD
Volume:  
966,797.00
United States | Household Durables
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KBH WACC - Weighted Average Cost of Capital

The WACC of KB Home (KBH) is 8.8%.

The Cost of Equity of KB Home (KBH) is 10.60%.
The Cost of Debt of KB Home (KBH) is 5.00%.

Range Selected
Cost of equity 9.20% - 12.00% 10.60%
Tax rate 21.30% - 23.20% 22.25%
Cost of debt 5.00% - 5.00% 5.00%
WACC 7.8% - 9.8% 8.8%
WACC

KBH WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 1.16 1.27
Additional risk adjustments 0.0% 0.5%
Cost of equity 9.20% 12.00%
Tax rate 21.30% 23.20%
Debt/Equity ratio 0.36 0.36
Cost of debt 5.00% 5.00%
After-tax WACC 7.8% 9.8%
Selected WACC 8.8%