The WACC of New Jersey Resources Corp (NJR) is 7.6%.
Range | Selected | |
Cost of equity | 6.30% - 8.10% | 7.20% |
Tax rate | 15.30% - 17.40% | 16.35% |
Cost of debt | 4.00% - 15.60% | 9.80% |
WACC | 5.1% - 10.0% | 7.6% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.53 | 0.58 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.30% | 8.10% |
Tax rate | 15.30% | 17.40% |
Debt/Equity ratio | 0.66 | 0.66 |
Cost of debt | 4.00% | 15.60% |
After-tax WACC | 5.1% | 10.0% |
Selected WACC | 7.6% | |