MLB.WA WACC - Weighted Average Cost of Capital
The WACC of Makolab SA (MLB.WA) is 11.8%.
| Range | Selected | |
| Cost of equity | 10.6% - 13.0% | 11.8% |
| Tax rate | 22.4% - 23.5% | 22.95% |
| Cost of debt | 6.1% - 17.7% | 11.9% |
| WACC | 10.5% - 13.1% | 11.8% |
| Category | Low | High |
| Long-term bond rate | 5.5% | 6.0% |
| Equity market risk premium | 6.3% | 7.3% |
| Adjusted beta | 0.8 | 0.89 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 10.6% | 13.0% |
| Tax rate | 22.4% | 23.5% |
| Debt/Equity ratio | 0.02 | 0.02 |
| Cost of debt | 6.1% | 17.7% |
| After-tax WACC | 10.5% | 13.1% |
| Selected WACC | 11.8% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| MLB.WA | Makolab SA | 0.02 | 1.08 | 1.07 |
| ALODI.PA | O2I SA | 1.63 | 1.81 | 0.8 |
| BYTE.AT | Byte Computer SA | 0.1 | 0.93 | 0.86 |
| C1V.DE | mVISE AG | 0.53 | 1.29 | 0.92 |
| EUROC.AT | Euroconsultants SA | 0.05 | 0.7 | 0.67 |
| NC5A.DE | NorCom Information Technology AG | 0.16 | -0.3 | -0.27 |
| RTC.DE | Realtech AG | 0.07 | 1.11 | 1.05 |
| TRD.L | Triad Group PLC | 0.01 | 0.7 | 0.7 |
| VERT B.ST | Vertiseit AB (publ) | 0.17 | 0.52 | 0.46 |
| WIRTEK.CO | Wirtek A/S | 0.15 | 0.01 | 0.01 |
| Low | High | |
| Unlevered beta | 0.69 | 0.83 |
| Relevered beta | 0.7 | 0.84 |
| Adjusted relevered beta | 0.8 | 0.89 |
MLB.WA'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 MLB.WA:
cost_of_equity (11.80%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (0.8) + 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.