The WACC of Marathon Petroleum Corp (MPC) is 7.4%.
Range | Selected | |
Cost of equity | 6.90% - 11.50% | 9.20% |
Tax rate | 19.20% - 20.90% | 20.05% |
Cost of debt | 4.20% - 4.80% | 4.50% |
WACC | 5.7% - 9.0% | 7.4% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.65 | 1.19 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.90% | 11.50% |
Tax rate | 19.20% | 20.90% |
Debt/Equity ratio | 0.49 | 0.49 |
Cost of debt | 4.20% | 4.80% |
After-tax WACC | 5.7% | 9.0% |
Selected WACC | 7.4% | |