PAT.WA WACC - Weighted Average Cost of Capital
The WACC of Patentus SA (PAT.WA) is 9.9%.
| Range | Selected | |
| Cost of equity | 9.3% - 11.1% | 10.2% |
| Tax rate | 11.2% - 11.6% | 11.4% |
| Cost of debt | 4.2% - 6.1% | 5.15% |
| WACC | 9.0% - 10.8% | 9.9% |
| Category | Low | High |
| Long-term bond rate | 5.5% | 6.0% |
| Equity market risk premium | 6.3% | 7.3% |
| Adjusted beta | 0.61 | 0.63 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 9.3% | 11.1% |
| Tax rate | 11.2% | 11.6% |
| Debt/Equity ratio | 0.06 | 0.06 |
| Cost of debt | 4.2% | 6.1% |
| After-tax WACC | 9.0% | 10.8% |
| Selected WACC | 9.9% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| PAT.WA | Patentus SA | 0.06 | 0.39 | 0.37 |
| ENDUR.OL | Endur ASA | 0.22 | 0.52 | 0.44 |
| KATMR.IS | Katmerciler Arac Ustu Ekipman Sanayi ve Ticaret AS | 1.29 | 1.4 | 0.65 |
| NKR.OL | Nekkar Asa | 0.01 | 0.43 | 0.42 |
| OXE.ST | Oxe Marine AB | 0.26 | 0.75 | 0.61 |
| OZE.WA | Oze Capital SA | 0.04 | 0.61 | 0.59 |
| PTH.WA | Primetech SA | 0.85 | 0.05 | 0.03 |
| RKB1R.RG | Rigas Kugu Buvetava AS | 0.52 | 0.38 | 0.26 |
| SKAKO.CO | Skako A/S | 0.29 | 0.16 | 0.13 |
| SOM.L | Somero Enterprises Inc | 0 | 0.41 | 0.41 |
| Low | High | |
| Unlevered beta | 0.39 | 0.43 |
| Relevered beta | 0.42 | 0.45 |
| Adjusted relevered beta | 0.61 | 0.63 |
PAT.WA'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 PAT.WA:
cost_of_equity (10.20%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (0.61) + 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.