PCAR
Paccar Inc
Price:  
115.37 
USD
Volume:  
1,837,252.00
United States | Machinery
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Paccar WACC - Weighted Average Cost of Capital

The WACC of Paccar Inc (PCAR) is 8.7%.

The Cost of Equity of Paccar Inc (PCAR) is 9.95%.
The Cost of Debt of Paccar Inc (PCAR) is 4.25%.

Range Selected
Cost of equity 8.50% - 11.40% 9.95%
Tax rate 21.70% - 21.90% 21.80%
Cost of debt 4.00% - 4.50% 4.25%
WACC 7.5% - 9.9% 8.7%
WACC

Paccar WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 1.02 1.16
Additional risk adjustments 0.0% 0.5%
Cost of equity 8.50% 11.40%
Tax rate 21.70% 21.90%
Debt/Equity ratio 0.23 0.23
Cost of debt 4.00% 4.50%
After-tax WACC 7.5% 9.9%
Selected WACC 8.7%