The WACC of Lithia Motors Inc (LAD) is 7.0%.
| Range | Selected | |
| Cost of equity | 8.50% - 11.20% | 9.85% |
| Tax rate | 27.30% - 27.50% | 27.40% |
| Cost of debt | 4.40% - 7.50% | 5.95% |
| WACC | 5.8% - 8.2% | 7.0% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 1.02 | 1.13 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 8.50% | 11.20% |
| Tax rate | 27.30% | 27.50% |
| Debt/Equity ratio | 1.08 | 1.08 |
| Cost of debt | 4.40% | 7.50% |
| After-tax WACC | 5.8% | 8.2% |
| Selected WACC | 7.0% | |