The WACC of Nymox Pharmaceutical Corp (NYMX) is 7.5%.
Range | Selected | |
Cost of equity | 6.2% - 8.8% | 7.5% |
Tax rate | 26.2% - 27.0% | 26.6% |
Cost of debt | 5.0% - 5.0% | 5% |
WACC | 6.2% - 8.8% | 7.5% |
Category | Low | High |
Long-term bond rate | 4.2% | 4.7% |
Equity market risk premium | 5.0% | 6.0% |
Adjusted beta | 0.41 | 0.61 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.2% | 8.8% |
Tax rate | 26.2% | 27.0% |
Debt/Equity ratio | 0.01 | 0.01 |
Cost of debt | 5.0% | 5.0% |
After-tax WACC | 6.2% | 8.8% |
Selected WACC | 7.5% | |
Debt/Equity | Unlevered | |||
Peers | Company Name | ratio | Beta | beta |
NYMX | Nymox Pharmaceutical Corp | 0.01 | 0.02 | 0.02 |
AEZS.TO | Aeterna Zentaris Inc | 0.03 | 1.92 | 1.89 |
CELC | Celcuity Inc | 0.24 | 1.24 | 1.05 |
DMAC | DiaMedica Therapeutics Inc | 0 | 1.1 | 1.1 |
ENOB | Enochian Biosciences Inc | 0.14 | 0 | 0 |
FENC | Fennec Pharmaceuticals Inc | 0.1 | 1.95 | 1.82 |
MTNB | Matinas BioPharma Holdings Inc | 0 | 1.43 | 1.42 |
NBSE | NeuBase Therapeutics Inc | 0.06 | 1.55 | 1.49 |
OBSV | Obseva SA | 3.13 | 0.43 | 0.13 |
PTN | Palatin Technologies Inc | 0.02 | -0.17 | -0.17 |
Low | High | |
Unlevered beta | 0.69 | 1.23 |
Relevered beta | 0.12 | 0.42 |
Adjusted relevered beta | 0.41 | 0.61 |
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 NYMX:
cost_of_equity (7.50%) = risk_free_rate (4.45%) + equity_risk_premium (5.50%) * adjusted_beta (0.41) + 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.