NFLD.CN
Exploits Discovery Corp
Price:  
0.04 
CAD
Volume:  
85,000.00
Canada | N/A
Valuation
Overview
Financials
Forecast
Compare
Historical Price
SolvencyDividends
Transactions
People

NFLD.CN WACC - Weighted Average Cost of Capital

The WACC of Exploits Discovery Corp (NFLD.CN) is 9.0%.

The Cost of Equity of Exploits Discovery Corp (NFLD.CN) is 14.20%.
The Cost of Debt of Exploits Discovery Corp (NFLD.CN) is 5.00%.

Range Selected
Cost of equity 11.40% - 17.00% 14.20%
Tax rate 25.90% - 26.50% 26.20%
Cost of debt 5.00% - 5.00% 5.00%
WACC 7.5% - 10.4% 9.0%
WACC

NFLD.CN WACC calculation

Category Low High
Long-term bond rate 3.2% 3.7%
Equity market risk premium 5.1% 6.1%
Adjusted beta 1.61 2.11
Additional risk adjustments 0.0% 0.5%
Cost of equity 11.40% 17.00%
Tax rate 25.90% 26.50%
Debt/Equity ratio 1 1
Cost of debt 5.00% 5.00%
After-tax WACC 7.5% 10.4%
Selected WACC 9.0%

NFLD.CN'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 NFLD.CN:

cost_of_equity (14.20%) = risk_free_rate (3.45%) + equity_risk_premium (5.60%) * adjusted_beta (1.61) + 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.