NETAS.IS WACC - Weighted Average Cost of Capital

The WACC of Netas Telekomunikasyon AS (NETAS.IS) is 24.7%.

The Cost of Equity of Netas Telekomunikasyon AS (NETAS.IS) is 31.90%.

The Cost of Debt of Netas Telekomunikasyon AS (NETAS.IS) is 13.75%.

	Range	Selected
Cost of equity	30.10% - 33.70%	31.90%
Tax rate	17.20% - 19.70%	18.45%
Cost of debt	7.00% - 20.50%	13.75%
WACC	21.7% - 27.7%	24.7%

WACC

NETAS.IS WACC calculation

Category	Low	High

Long-term bond rate	21.4%	21.9%
Equity market risk premium	10.2%	11.2%
Adjusted beta	0.86	1.02

Additional risk adjustments	0.0%	0.5%
Cost of equity	30.10%	33.70%

Tax rate	17.20%	19.70%
Debt/Equity ratio	0.53	0.53
Cost of debt	7.00%	20.50%

After-tax WACC	21.7%	27.7%


Selected WACC	24.7%

NETAS.IS'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 NETAS.IS:

cost_of_equity (31.90%) = risk_free_rate (21.65%) + equity_risk_premium (10.70%) * adjusted_beta (0.86) + 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.