MTRS.ST
Munters Group AB
Price:  
133.10 
SEK
Volume:  
236,717.00
Sweden | Building Products
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MTRS.ST WACC - Weighted Average Cost of Capital

The WACC of Munters Group AB (MTRS.ST) is 7.1%.

The Cost of Equity of Munters Group AB (MTRS.ST) is 8.15%.
The Cost of Debt of Munters Group AB (MTRS.ST) is 5.00%.

Range Selected
Cost of equity 7.00% - 9.30% 8.15%
Tax rate 22.50% - 26.30% 24.40%
Cost of debt 5.00% - 5.00% 5.00%
WACC 6.3% - 8.0% 7.1%
WACC

MTRS.ST WACC calculation

Category Low High
Long-term bond rate 2.5% 3.0%
Equity market risk premium 5.1% 6.1%
Adjusted beta 0.88 0.94
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.00% 9.30%
Tax rate 22.50% 26.30%
Debt/Equity ratio 0.31 0.31
Cost of debt 5.00% 5.00%
After-tax WACC 6.3% 8.0%
Selected WACC 7.1%

MTRS.ST'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 MTRS.ST:

cost_of_equity (8.15%) = risk_free_rate (2.75%) + equity_risk_premium (5.60%) * adjusted_beta (0.88) + 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.