PGAS
Petrogress Inc
Price:  
0.00 
USD
Volume:  
41,570.00
Greece | Oil, Gas & Consumable Fuels
Valuation
Overview
Financials
Forecast
Compare
Historical Price
SolvencyDividends
Transactions
People

PGAS WACC - Weighted Average Cost of Capital

The WACC of Petrogress Inc (PGAS) is 4.0%.

The Cost of Equity of Petrogress Inc (PGAS) is 41.75%.
The Cost of Debt of Petrogress Inc (PGAS) is 5.00%.

Range Selected
Cost of equity 27.10% - 56.40% 41.75%
Tax rate 26.20% - 27.00% 26.60%
Cost of debt 5.00% - 5.00% 5.00%
WACC 3.9% - 4.1% 4.0%
WACC

PGAS WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 5.04 9.2
Additional risk adjustments 0.0% 0.5%
Cost of equity 27.10% 56.40%
Tax rate 26.20% 27.00%
Debt/Equity ratio 116.9 116.9
Cost of debt 5.00% 5.00%
After-tax WACC 3.9% 4.1%
Selected WACC 4.0%

PGAS'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 PGAS:

cost_of_equity (41.75%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (5.04) + 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.