NAGREEKEXP.NS WACC - Weighted Average Cost of Capital

The WACC of Nagreeka Exports Ltd (NAGREEKEXP.NS) is 8.8%.

The Cost of Equity of Nagreeka Exports Ltd (NAGREEKEXP.NS) is 12.00%.

The Cost of Debt of Nagreeka Exports Ltd (NAGREEKEXP.NS) is 11.05%.

	Range	Selected
Cost of equity	9.80% - 14.20%	12.00%
Tax rate	31.20% - 37.50%	34.35%
Cost of debt	6.70% - 15.40%	11.05%
WACC	6.4% - 11.2%	8.8%

WACC

NAGREEKEXP.NS WACC calculation

Category	Low	High

Long-term bond rate	6.9%	7.4%
Equity market risk premium	8.3%	9.3%
Adjusted beta	0.35	0.68

Additional risk adjustments	0.0%	0.5%
Cost of equity	9.80%	14.20%

Tax rate	31.20%	37.50%
Debt/Equity ratio	1.84	1.84
Cost of debt	6.70%	15.40%

After-tax WACC	6.4%	11.2%


Selected WACC	8.8%

NAGREEKEXP.NS'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 NAGREEKEXP.NS:

cost_of_equity (12.00%) = risk_free_rate (7.15%) + equity_risk_premium (8.80%) * adjusted_beta (0.35) + 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.