MANUGRAPH.NS WACC - Weighted Average Cost of Capital

The WACC of Manugraph India Ltd (MANUGRAPH.NS) is 14.6%.

The Cost of Equity of Manugraph India Ltd (MANUGRAPH.NS) is 15.10%.

The Cost of Debt of Manugraph India Ltd (MANUGRAPH.NS) is 12.95%.

	Range	Selected
Cost of equity	13.30% - 16.90%	15.10%
Tax rate	1.60% - 2.10%	1.85%
Cost of debt	7.00% - 18.90%	12.95%
WACC	11.9% - 17.3%	14.6%

WACC

MANUGRAPH.NS WACC calculation

Category	Low	High

Long-term bond rate	6.9%	7.4%
Equity market risk premium	8.3%	9.3%
Adjusted beta	0.78	0.97

Additional risk adjustments	0.0%	0.5%
Cost of equity	13.30%	16.90%

Tax rate	1.60%	2.10%
Debt/Equity ratio	0.29	0.29
Cost of debt	7.00%	18.90%

After-tax WACC	11.9%	17.3%


Selected WACC	14.6%

MANUGRAPH.NS'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 MANUGRAPH.NS:

cost_of_equity (15.10%) = risk_free_rate (7.15%) + equity_risk_premium (8.80%) * adjusted_beta (0.78) + 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.