The WACC of Otter Tail Corp (OTTR) is 6.7%.
Range | Selected | |
Cost of equity | 6.00% - 8.50% | 7.25% |
Tax rate | 17.20% - 18.10% | 17.65% |
Cost of debt | 4.40% - 7.00% | 5.70% |
WACC | 5.5% - 7.9% | 6.7% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.47 | 0.64 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.00% | 8.50% |
Tax rate | 17.20% | 18.10% |
Debt/Equity ratio | 0.26 | 0.26 |
Cost of debt | 4.40% | 7.00% |
After-tax WACC | 5.5% | 7.9% |
Selected WACC | 6.7% | |