LITE
Lumentum Holdings Inc
Price:  
88.20 
USD
Volume:  
1,475,926.00
United States | Communications Equipment
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Lumentum WACC - Weighted Average Cost of Capital

The WACC of Lumentum Holdings Inc (LITE) is 7.6%.

The Cost of Equity of Lumentum Holdings Inc (LITE) is 8.85%.
The Cost of Debt of Lumentum Holdings Inc (LITE) is 5.50%.

Range Selected
Cost of equity 7.20% - 10.50% 8.85%
Tax rate 19.50% - 24.80% 22.15%
Cost of debt 4.00% - 7.00% 5.50%
WACC 6.1% - 9.0% 7.6%
WACC

Lumentum WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.73 1
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.20% 10.50%
Tax rate 19.50% 24.80%
Debt/Equity ratio 0.39 0.39
Cost of debt 4.00% 7.00%
After-tax WACC 6.1% 9.0%
Selected WACC 7.6%