KBH
KB Home
Price:  
79.35 
USD
Volume:  
1,102,382.00
United States | Household Durables
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KBH WACC - Weighted Average Cost of Capital

The WACC of KB Home (KBH) is 9.6%.

The Cost of Equity of KB Home (KBH) is 11.10%.
The Cost of Debt of KB Home (KBH) is 5.00%.

Range Selected
Cost of equity 9.70% - 12.50% 11.10%
Tax rate 21.20% - 23.10% 22.15%
Cost of debt 5.00% - 5.00% 5.00%
WACC 8.5% - 10.7% 9.6%
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 1.27 1.37
Additional risk adjustments 0.0% 0.5%
Cost of equity 9.70% 12.50%
Tax rate 21.20% 23.10%
Debt/Equity ratio 0.27 0.27
Cost of debt 5.00% 5.00%
After-tax WACC 8.5% 10.7%
Selected WACC 9.6%