PDM
Piedmont Office Realty Trust Inc
Price:  
7.39 
USD
Volume:  
607,620.00
United States | Equity Real Estate Investment Trusts (REITs)
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PDM WACC - Weighted Average Cost of Capital

The WACC of Piedmont Office Realty Trust Inc (PDM) is 6.2%.

The Cost of Equity of Piedmont Office Realty Trust Inc (PDM) is 12.50%.
The Cost of Debt of Piedmont Office Realty Trust Inc (PDM) is 5.00%.

Range Selected
Cost of equity 10.60% - 14.40% 12.50%
Tax rate 26.20% - 27.00% 26.60%
Cost of debt 5.00% - 5.00% 5.00%
WACC 5.7% - 6.7% 6.2%
WACC

PDM WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 1.46 1.69
Additional risk adjustments 0.0% 0.5%
Cost of equity 10.60% 14.40%
Tax rate 26.20% 27.00%
Debt/Equity ratio 2.5 2.5
Cost of debt 5.00% 5.00%
After-tax WACC 5.7% 6.7%
Selected WACC 6.2%