PKG1T.TL WACC - Weighted Average Cost of Capital

The WACC of Pro Kapital Grupp AS (PKG1T.TL) is 11.9%.

The Cost of Equity of Pro Kapital Grupp AS (PKG1T.TL) is 9.30%.

The Cost of Debt of Pro Kapital Grupp AS (PKG1T.TL) is 15.40%.

	Range	Selected
Cost of equity	8.10% - 10.50%	9.30%
Tax rate	0.10% - 1.70%	0.90%
Cost of debt	7.90% - 22.90%	15.40%
WACC	8.0% - 15.8%	11.9%

WACC

PKG1T.TL WACC calculation

Category	Low	High

Long-term bond rate	5.9%	6.4%
Equity market risk premium	6.1%	7.1%
Adjusted beta	0.36	0.51

Additional risk adjustments	0.0%	0.5%
Cost of equity	8.10%	10.50%

Tax rate	0.10%	1.70%
Debt/Equity ratio	0.78	0.78
Cost of debt	7.90%	22.90%

After-tax WACC	8.0%	15.8%


Selected WACC	11.9%

PKG1T.TL'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 PKG1T.TL:

cost_of_equity (9.30%) = risk_free_rate (6.15%) + equity_risk_premium (6.60%) * adjusted_beta (0.36) + 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.