The WACC of Penske Automotive Group Inc (PAG) is 7.0%.
Range | Selected | |
Cost of equity | 7.40% - 9.90% | 8.65% |
Tax rate | 25.40% - 25.60% | 25.50% |
Cost of debt | 4.00% - 5.10% | 4.55% |
WACC | 6.0% - 7.9% | 7.0% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.76 | 0.9 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.40% | 9.90% |
Tax rate | 25.40% | 25.60% |
Debt/Equity ratio | 0.47 | 0.47 |
Cost of debt | 4.00% | 5.10% |
After-tax WACC | 6.0% | 7.9% |
Selected WACC | 7.0% | |