LINUF WACC - Weighted Average Cost of Capital
The WACC of Liniu Technology Group (LINUF) is 3.7%.
| Range | Selected | |
| Cost of equity | 6.3% - 5633.0% | 2819.65% |
| Tax rate | 26.2% - 27.0% | 26.6% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 3.7% - 3.7% | 3.7% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 0.54 | 1005.02 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.3% | 5633.0% |
| Tax rate | 26.2% | 27.0% |
| Debt/Equity ratio | 57425 | 57425 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 3.7% | 3.7% |
| Selected WACC | 3.7% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| LINUF | Liniu Technology Group | 57425 | 318.78 | 0.01 |
| ABDR | Ambassador Food Services Corp | 5.41 | 0.99 | 0.2 |
| AGS | PlayAGS Inc | 1.04 | 0.03 | 0.01 |
| ARHN | Archon Corp | 0.45 | 0.18 | 0.14 |
| BYM.H.V | Baymount Inc | 0.63 | -2.01 | -1.38 |
| ELRA | Elray Resources Inc | 3.59 | -1.23 | -0.34 |
| FCNE | Four Corners Inc | 0.13 | 0.07 | 0.07 |
| GLXZ | Galaxy Gaming Inc | 0.77 | -0.63 | -0.4 |
| TNA.V | Evergreen Gaming Corp | 0.15 | 1.02 | 0.93 |
| WPFH | World Poker Fund Holdings Inc | 23047.9 | 0.21 | 0 |
| Low | High | |
| Unlevered beta | 0 | 0.04 |
| Relevered beta | 0.31 | 1499.54 |
| Adjusted relevered beta | 0.54 | 1005.02 |
LINUF'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 LINUF:
cost_of_equity (2,819.65%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (0.54) + 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.