MISH.TA
Mivtach Shamir Holdings Ltd
Price:  
27,500.00 
ILS
Volume:  
21,434.00
Israel | Diversified Financial Services
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MISH.TA WACC - Weighted Average Cost of Capital

The WACC of Mivtach Shamir Holdings Ltd (MISH.TA) is 10.1%.

The Cost of Equity of Mivtach Shamir Holdings Ltd (MISH.TA) is 14.20%.
The Cost of Debt of Mivtach Shamir Holdings Ltd (MISH.TA) is 6.20%.

Range Selected
Cost of equity 12.20% - 16.20% 14.20%
Tax rate 16.60% - 20.80% 18.70%
Cost of debt 4.00% - 8.40% 6.20%
WACC 8.2% - 11.9% 10.1%
WACC

MISH.TA WACC calculation

Category Low High
Long-term bond rate 4.8% 5.3%
Equity market risk premium 6.1% 7.1%
Adjusted beta 1.2 1.45
Additional risk adjustments 0.0% 0.5%
Cost of equity 12.20% 16.20%
Tax rate 16.60% 20.80%
Debt/Equity ratio 0.81 0.81
Cost of debt 4.00% 8.40%
After-tax WACC 8.2% 11.9%
Selected WACC 10.1%

MISH.TA'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 MISH.TA:

cost_of_equity (14.20%) = risk_free_rate (5.05%) + equity_risk_premium (6.60%) * adjusted_beta (1.2) + 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.