MCOT.BK WACC - Weighted Average Cost of Capital
The WACC of MCOT PCL (MCOT.BK) is 7.9%.
| Range | Selected | |
| Cost of equity | 7.1% - 10.0% | 8.55% |
| Tax rate | 1.9% - 5.2% | 3.55% |
| Cost of debt | 5.4% - 7.0% | 6.2% |
| WACC | 6.7% - 9.1% | 7.9% |
| Category | Low | High |
| Long-term bond rate | 2.6% | 3.1% |
| Equity market risk premium | 7.4% | 8.4% |
| Adjusted beta | 0.61 | 0.76 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 7.1% | 10.0% |
| Tax rate | 1.9% | 5.2% |
| Debt/Equity ratio | 0.33 | 0.33 |
| Cost of debt | 5.4% | 7.0% |
| After-tax WACC | 6.7% | 9.1% |
| Selected WACC | 7.9% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| MCOT.BK | MCOT PCL | 0.33 | 2.01 | 1.52 |
| 052220.KQ | iMBC Co Ltd | 0.02 | 0.49 | 0.48 |
| 471.HK | CMMB Vision Holdings Ltd | 0.99 | 0.94 | 0.48 |
| 9928.TW | China Television Co | 1.89 | 0.23 | 0.08 |
| BEC.BK | BEC World PCL | 0.52 | 0.75 | 0.5 |
| NBC.BK | Nation Broadcasting Corporation PCL | 0.08 | 0.85 | 0.79 |
| POST.BK | Bangkok Post PCL | 8.86 | 0.68 | 0.07 |
| RADIOCITY.NS | Music Broadcast Ltd | 0.39 | 0.84 | 0.61 |
| RAJTV.NS | Raj Television Network Ltd | 0.1 | -0.17 | -0.15 |
| SEG.AX | Sports Entertainment Group Ltd | 0.54 | -0.18 | -0.12 |
| Low | High | |
| Unlevered beta | 0.32 | 0.49 |
| Relevered beta | 0.42 | 0.64 |
| Adjusted relevered beta | 0.61 | 0.76 |
MCOT.BK'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 MCOT.BK:
cost_of_equity (8.55%) = risk_free_rate (2.85%) + equity_risk_premium (7.90%) * adjusted_beta (0.61) + 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.