The WACC of Live Oak Bancshares Inc (LOB) is 9.3%.
Range | Selected | |
Cost of equity | 8.60% - 10.90% | 9.75% |
Tax rate | 15.00% - 16.80% | 15.90% |
Cost of debt | 5.00% - 5.00% | 5.00% |
WACC | 8.3% - 10.4% | 9.3% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 1.04 | 1.08 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 8.60% | 10.90% |
Tax rate | 15.00% | 16.80% |
Debt/Equity ratio | 0.09 | 0.09 |
Cost of debt | 5.00% | 5.00% |
After-tax WACC | 8.3% | 10.4% |
Selected WACC | 9.3% | |