L61.VN
Lilama 69-1 JSC
Price:  
1.3 
VND
Volume:  
1,100
Viet Nam | Construction & Engineering

L61.VN WACC - Weighted Average Cost of Capital

The WACC of Lilama 69-1 JSC (L61.VN) is 3.8%.

The Cost of Equity of Lilama 69-1 JSC (L61.VN) is 32.9%.
The Cost of Debt of Lilama 69-1 JSC (L61.VN) is 4.25%.

RangeSelected
Cost of equity14.7% - 51.1%32.9%
Tax rate14.4% - 49.5%31.95%
Cost of debt4.0% - 4.5%4.25%
WACC3.8% - 3.8%3.8%
WACC

L61.VN WACC calculation

CategoryLowHigh
Long-term bond rate2.7%3.2%
Equity market risk premium9.5%10.5%
Adjusted beta1.264.51
Additional risk adjustments0.0%0.5%
Cost of equity14.7%51.1%
Tax rate14.4%49.5%
Debt/Equity ratio
30.1430.14
Cost of debt4.0%4.5%
After-tax WACC3.8%3.8%
Selected WACC3.8%

L61.VN'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 L61.VN:

cost_of_equity (32.90%) = risk_free_rate (2.95%) + equity_risk_premium (10.00%) * adjusted_beta (1.26) + 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.