The WACC of Killam Apartment REIT (KMP.UN.TO) is 6.8%.
Range | Selected | |
Cost of equity | 7.60% - 10.50% | 9.05% |
Tax rate | 11.90% - 12.70% | 12.30% |
Cost of debt | 4.00% - 5.40% | 4.70% |
WACC | 5.7% - 7.8% | 6.8% |
Category | Low | High |
Long-term bond rate | 3.2% | 3.7% |
Equity market risk premium | 5.1% | 6.1% |
Adjusted beta | 0.87 | 1.04 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.60% | 10.50% |
Tax rate | 11.90% | 12.70% |
Debt/Equity ratio | 0.85 | 0.85 |
Cost of debt | 4.00% | 5.40% |
After-tax WACC | 5.7% | 7.8% |
Selected WACC | 6.8% | |