MYSL.L WACC - Weighted Average Cost of Capital
The WACC of MySale Group PLC (MYSL.L) is 9.0%.
| Range | Selected | |
| Cost of equity | 7.5% - 11.7% | 9.6% |
| Tax rate | 29.8% - 45.2% | 37.5% |
| Cost of debt | 4.0% - 7.0% | 5.5% |
| WACC | 7.0% - 10.9% | 9.0% |
| Category | Low | High |
| Long-term bond rate | 4.0% | 4.5% |
| Equity market risk premium | 6.0% | 7.0% |
| Adjusted beta | 0.58 | 0.96 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 7.5% | 11.7% |
| Tax rate | 29.8% | 45.2% |
| Debt/Equity ratio | 0.11 | 0.11 |
| Cost of debt | 4.0% | 7.0% |
| After-tax WACC | 7.0% | 10.9% |
| Selected WACC | 9.0% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| MYSL.L | MySale Group PLC | 0.11 | 1.53 | 1.43 |
| AO.L | AO World PLC | 0.13 | 0.9 | 0.83 |
| BHG.ST | BHG Group AB | 0.58 | 1.27 | 0.93 |
| BTBB.DE | SLEEPZ AG | 0.4 | -0.47 | -0.38 |
| ECF.DE | Mountain Alliance AG | 0 | -0.03 | -0.03 |
| EVE.L | eve Sleep plc | 0.46 | 0.5 | 0.39 |
| LAUR.ST | Lauritz.com Group A/S | 15.43 | 0.66 | 0.06 |
| NELLY.ST | Nelly Group AB (publ) | 0.22 | 1.17 | 1.03 |
| PSAT.PA | Passat SA | 0.37 | 0.37 | 0.3 |
| VERK.HE | Verkkokauppa.com Oyj | 0.38 | 1.38 | 1.11 |
| Low | High | |
| Unlevered beta | 0.35 | 0.87 |
| Relevered beta | 0.37 | 0.94 |
| Adjusted relevered beta | 0.58 | 0.96 |
MYSL.L'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 MYSL.L:
cost_of_equity (9.60%) = risk_free_rate (4.25%) + equity_risk_premium (6.50%) * adjusted_beta (0.58) + 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.