MRKZ.ME WACC - Weighted Average Cost of Capital

The WACC of MRSK Severo-Zapada PAO (MRKZ.ME) is 17.3%.

The Cost of Equity of MRSK Severo-Zapada PAO (MRKZ.ME) is 20.00%.

The Cost of Debt of MRSK Severo-Zapada PAO (MRKZ.ME) is 18.55%.

	Range	Selected
Cost of equity	18.90% - 21.10%	20.00%
Tax rate	12.20% - 16.80%	14.50%
Cost of debt	9.50% - 27.60%	18.55%
WACC	12.5% - 22.2%	17.3%

WACC

MRKZ.ME WACC calculation

Category	Low	High

Long-term bond rate	15.8%	16.3%
Equity market risk premium	11.7%	12.7%
Adjusted beta	0.26	0.34

Additional risk adjustments	0.0%	0.5%
Cost of equity	18.90%	21.10%

Tax rate	12.20%	16.80%
Debt/Equity ratio	1.54	1.54
Cost of debt	9.50%	27.60%

After-tax WACC	12.5%	22.2%


Selected WACC	17.3%

MRKZ.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 MRKZ.ME:

cost_of_equity (20.00%) = risk_free_rate (16.05%) + equity_risk_premium (12.20%) * adjusted_beta (0.26) + 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.