OTTR
Otter Tail Corp
Price:  
77.55 
USD
Volume:  
172,533.00
United States | Electric Utilities
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OTTR WACC - Weighted Average Cost of Capital

The WACC of Otter Tail Corp (OTTR) is 6.7%.

The Cost of Equity of Otter Tail Corp (OTTR) is 7.25%.
The Cost of Debt of Otter Tail Corp (OTTR) is 5.70%.

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%
WACC

OTTR WACC calculation

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%