MTH
Meritage Homes Corp
Price:  
76.16 
USD
Volume:  
1,251,420.00
United States | Household Durables
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Meritage WACC - Weighted Average Cost of Capital

The WACC of Meritage Homes Corp (MTH) is 9.6%.

The Cost of Equity of Meritage Homes Corp (MTH) is 10.65%.
The Cost of Debt of Meritage Homes Corp (MTH) is 5.00%.

Range Selected
Cost of equity 9.20% - 12.10% 10.65%
Tax rate 21.60% - 22.40% 22.00%
Cost of debt 5.00% - 5.00% 5.00%
WACC 8.4% - 10.8% 9.6%
WACC

Meritage WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 1.17 1.29
Additional risk adjustments 0.0% 0.5%
Cost of equity 9.20% 12.10%
Tax rate 21.60% 22.40%
Debt/Equity ratio 0.18 0.18
Cost of debt 5.00% 5.00%
After-tax WACC 8.4% 10.8%
Selected WACC 9.6%