The WACC of MGM Resorts International (MGM) is 7.8%.
Range | Selected | |
Cost of equity | 8.00% - 11.10% | 9.55% |
Tax rate | 15.50% - 19.30% | 17.40% |
Cost of debt | 5.20% - 5.30% | 5.25% |
WACC | 6.7% - 8.8% | 7.8% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.89 | 1.11 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 8.00% | 11.10% |
Tax rate | 15.50% | 19.30% |
Debt/Equity ratio | 0.52 | 0.52 |
Cost of debt | 5.20% | 5.30% |
After-tax WACC | 6.7% | 8.8% |
Selected WACC | 7.8% | |