The WACC of Nike Inc (NKE) is 8.5%.
Range | Selected | |
Cost of equity | 7.70% - 10.10% | 8.90% |
Tax rate | 13.20% - 14.40% | 13.80% |
Cost of debt | 4.00% - 4.50% | 4.25% |
WACC | 7.4% - 9.6% | 8.5% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.83 | 0.93 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.70% | 10.10% |
Tax rate | 13.20% | 14.40% |
Debt/Equity ratio | 0.08 | 0.08 |
Cost of debt | 4.00% | 4.50% |
After-tax WACC | 7.4% | 9.6% |
Selected WACC | 8.5% | |