The WACC of Merck & Co Inc (MRK) is 6.3%.
Range | Selected | |
Cost of equity | 5.90% - 7.50% | 6.70% |
Tax rate | 17.80% - 22.20% | 20.00% |
Cost of debt | 4.00% - 4.50% | 4.25% |
WACC | 5.6% - 7.0% | 6.3% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.45 | 0.46 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 5.90% | 7.50% |
Tax rate | 17.80% | 22.20% |
Debt/Equity ratio | 0.12 | 0.12 |
Cost of debt | 4.00% | 4.50% |
After-tax WACC | 5.6% | 7.0% |
Selected WACC | 6.3% | |