LODE
Comstock Mining Inc
Price:  
2.55 
USD
Volume:  
483,921.00
United States | Metals & Mining
Valuation
Overview
Financials
Forecast
Compare
Historical Price
SolvencyDividends
Transactions
People

LODE WACC - Weighted Average Cost of Capital

The WACC of Comstock Mining Inc (LODE) is 8.2%.

The Cost of Equity of Comstock Mining Inc (LODE) is 8.75%.
The Cost of Debt of Comstock Mining Inc (LODE) is 5.55%.

Range Selected
Cost of equity 7.40% - 10.10% 8.75%
Tax rate 26.20% - 27.00% 26.60%
Cost of debt 4.10% - 7.00% 5.55%
WACC 6.9% - 9.6% 8.2%
WACC

LODE WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.77 0.94
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.40% 10.10%
Tax rate 26.20% 27.00%
Debt/Equity ratio 0.13 0.13
Cost of debt 4.10% 7.00%
After-tax WACC 6.9% 9.6%
Selected WACC 8.2%

LODE'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 LODE:

cost_of_equity (8.75%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (0.77) + 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.