The WACC of Paychex Inc (PAYX) is 7.7%.
Range | Selected | |
Cost of equity | 6.50% - 9.00% | 7.75% |
Tax rate | 23.60% - 23.70% | 23.65% |
Cost of debt | 4.40% - 4.50% | 4.45% |
WACC | 6.4% - 8.9% | 7.7% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.57 | 0.74 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.50% | 9.00% |
Tax rate | 23.60% | 23.70% |
Debt/Equity ratio | 0.02 | 0.02 |
Cost of debt | 4.40% | 4.50% |
After-tax WACC | 6.4% | 8.9% |
Selected WACC | 7.7% | |