OREGE.PA WACC - Weighted Average Cost of Capital
The WACC of Orege SA (OREGE.PA) is 4.8%.
| Range | Selected | |
| Cost of equity | 5.9% - 8.3% | 7.1% |
| Tax rate | 25.9% - 27.1% | 26.5% |
| Cost of debt | 4.0% - 7.0% | 5.5% |
| WACC | 3.7% - 5.9% | 4.8% |
| Category | Low | High |
| Long-term bond rate | 3.0% | 3.5% |
| Equity market risk premium | 5.8% | 6.8% |
| Adjusted beta | 0.5 | 0.63 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 5.9% | 8.3% |
| Tax rate | 25.9% | 27.1% |
| Debt/Equity ratio | 3.11 | 3.11 |
| Cost of debt | 4.0% | 7.0% |
| After-tax WACC | 3.7% | 5.9% |
| Selected WACC | 4.8% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| OREGE.PA | Orege SA | 3.11 | 0.37 | 0.11 |
| ALESA.PA | Ecoslops SA | 6.47 | 0.13 | 0.02 |
| AURE.PA | Aurea SA | 1.2 | 0.29 | 0.16 |
| GPE.PA | Groupe Pizzorno Environnement SA | 0.37 | 0.2 | 0.15 |
| GRI.MC | Grino Ecologic SA | 0.73 | -0.18 | -0.12 |
| GTS.WA | Geotrans SA | 0 | 0.25 | 0.24 |
| MBR.WA | Mo-Bruk SA | 0.11 | 0.15 | 0.14 |
| OBL.WA | Orzel Bialy SA | 0.01 | 0.13 | 0.13 |
| REAT.L | React Group PLC | 0.05 | -0.03 | -0.03 |
| SES.ST | Scandinavian Enviro Systems AB | 0 | -0.26 | -0.26 |
| Low | High | |
| Unlevered beta | 0.08 | 0.14 |
| Relevered beta | 0.25 | 0.45 |
| Adjusted relevered beta | 0.5 | 0.63 |
OREGE.PA'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 OREGE.PA:
cost_of_equity (7.10%) = risk_free_rate (3.25%) + equity_risk_premium (6.30%) * adjusted_beta (0.5) + 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.