OPAP.AT WACC - Weighted Average Cost of Capital

The WACC of Greek Organisation of Football Prognostics SA (OPAP.AT) is 9.5%.

The Cost of Equity of Greek Organisation of Football Prognostics SA (OPAP.AT) is 10.10%.

The Cost of Debt of Greek Organisation of Football Prognostics SA (OPAP.AT) is 4.25%.

	Range	Selected
Cost of equity	9.00% - 11.20%	10.10%
Tax rate	22.80% - 26.60%	24.70%
Cost of debt	4.00% - 4.50%	4.25%
WACC	8.5% - 10.5%	9.5%

WACC

OPAP.AT WACC calculation

Category	Low	High

Long-term bond rate	3.3%	3.8%
Equity market risk premium	8.8%	9.8%
Adjusted beta	0.65	0.7

Additional risk adjustments	0.0%	0.5%
Cost of equity	9.00%	11.20%

Tax rate	22.80%	26.60%
Debt/Equity ratio	0.09	0.09
Cost of debt	4.00%	4.50%

After-tax WACC	8.5%	10.5%


Selected WACC	9.5%

OPAP.AT'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 OPAP.AT:

cost_of_equity (10.10%) = risk_free_rate (3.55%) + equity_risk_premium (9.30%) * adjusted_beta (0.65) + 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.