PNM
PNM Resources Inc
Price:  
37.58 
USD
Volume:  
769,593.00
United States | Electric Utilities
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PNM WACC - Weighted Average Cost of Capital

The WACC of PNM Resources Inc (PNM) is 6.2%.

The Cost of Equity of PNM Resources Inc (PNM) is 9.10%.
The Cost of Debt of PNM Resources Inc (PNM) is 4.65%.

Range Selected
Cost of equity 7.90% - 10.30% 9.10%
Tax rate 11.40% - 12.80% 12.10%
Cost of debt 4.00% - 5.30% 4.65%
WACC 5.4% - 7.0% 6.2%
WACC

PNM WACC calculation

Category Low High
Long-term bond rate 4.2% 4.7%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.82 0.91
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.90% 10.30%
Tax rate 11.40% 12.80%
Debt/Equity ratio 1.36 1.36
Cost of debt 4.00% 5.30%
After-tax WACC 5.4% 7.0%
Selected WACC 6.2%