The WACC of Packaging Corp of America (PKG) is 7.1%.
Range | Selected | |
Cost of equity | 6.70% - 8.60% | 7.65% |
Tax rate | 24.40% - 24.50% | 24.45% |
Cost of debt | 4.20% - 4.70% | 4.45% |
WACC | 6.2% - 7.9% | 7.1% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.62 | 0.67 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.70% | 8.60% |
Tax rate | 24.40% | 24.50% |
Debt/Equity ratio | 0.17 | 0.17 |
Cost of debt | 4.20% | 4.70% |
After-tax WACC | 6.2% | 7.9% |
Selected WACC | 7.1% | |