MRKS.ME WACC - Weighted Average Cost of Capital

The WACC of MRSK Sibiri PAO (MRKS.ME) is 17.7%.

The Cost of Equity of MRSK Sibiri PAO (MRKS.ME) is 20.25%.

The Cost of Debt of MRSK Sibiri PAO (MRKS.ME) is 19.85%.

	Range	Selected
Cost of equity	19.20% - 21.30%	20.25%
Tax rate	19.80% - 39.90%	29.85%
Cost of debt	12.10% - 27.60%	19.85%
WACC	15.7% - 19.6%	17.7%

WACC

MRKS.ME WACC calculation

Category	Low	High

Long-term bond rate	15.8%	16.3%
Equity market risk premium	11.7%	12.7%
Adjusted beta	0.29	0.36

Additional risk adjustments	0.0%	0.5%
Cost of equity	19.20%	21.30%

Tax rate	19.80%	39.90%
Debt/Equity ratio	0.58	0.58
Cost of debt	12.10%	27.60%

After-tax WACC	15.7%	19.6%


Selected WACC	17.7%

MRKS.ME'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 MRKS.ME:

cost_of_equity (20.25%) = risk_free_rate (16.05%) + equity_risk_premium (12.20%) * adjusted_beta (0.29) + 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.