ORQ1.IR WACC - Weighted Average Cost of Capital
The WACC of Ormonde Mining PLC (ORQ1.IR) is 4.9%.
| Range | Selected | |
| Cost of equity | 3.1% - 7.7% | 5.4% |
| Tax rate | 12.5% - 12.5% | 12.5% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 3.7% - 6.0% | 4.9% |
| Category | Low | High |
| Long-term bond rate | 2.7% | 3.2% |
| Equity market risk premium | 6.0% | 7.0% |
| Adjusted beta | -0.02 | 0.5 |
| Additional risk adjustments | 0.5% | 1.0% |
| Cost of equity | 3.1% | 7.7% |
| Tax rate | 12.5% | 12.5% |
| Debt/Equity ratio | 1 | 1 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 3.7% | 6.0% |
| Selected WACC | 4.9% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| ORQ1.IR | Ormonde Mining PLC | 1.17 | 1.4 | 0.69 |
| ARCT.ST | Arctic Minerals AB | 1.08 | -1.53 | -0.79 |
| AYM.L | Anglesey Mining PLC | 0.98 | 0.34 | 0.18 |
| CRCL.L | Corcel PLC | 0.07 | 1.66 | 1.56 |
| EEE.L | Empire Metals Ltd | 0 | 0.62 | 0.62 |
| EMH.L | European Metals Holdings Ltd | 0 | -0.29 | -0.29 |
| KRS.L | Keras Resources PLC | 0.16 | -0.61 | -0.54 |
| MNRG.L | Metalnrg PLC | 0.18 | 1.62 | 1.4 |
| THR.L | Thor Mining PLC | 0.01 | -0.27 | -0.27 |
| WRES.L | W Resources PLC | 17.51 | 1.72 | 0.11 |
| ZNWD.L | Zinnwald Lithium PLC | 0.01 | -1.88 | -1.86 |
| Low | High | |
| Unlevered beta | -0.27 | 0.18 |
| Relevered beta | -0.52 | 0.25 |
| Adjusted relevered beta | -0.02 | 0.5 |
ORQ1.IR'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 ORQ1.IR:
cost_of_equity (5.40%) = risk_free_rate (2.95%) + equity_risk_premium (6.50%) * adjusted_beta (-0.02) + risk_adjustments (0.75%)
We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.