POPR.MI WACC - Weighted Average Cost of Capital
The WACC of Poligrafici Printing SpA (POPR.MI) is 7.9%.
| Range | Selected | |
| Cost of equity | 9.7% - 14.3% | 12% |
| Tax rate | 33.1% - 35.0% | 34.05% |
| Cost of debt | 4.9% - 5.6% | 5.25% |
| WACC | 6.6% - 9.1% | 7.9% |
| Category | Low | High |
| Long-term bond rate | 3.8% | 4.3% |
| Equity market risk premium | 6.9% | 7.9% |
| Adjusted beta | 0.84 | 1.2 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 9.7% | 14.3% |
| Tax rate | 33.1% | 35.0% |
| Debt/Equity ratio | 0.94 | 0.94 |
| Cost of debt | 4.9% | 5.6% |
| After-tax WACC | 6.6% | 9.1% |
| Selected WACC | 7.9% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| POPR.MI | Poligrafici Printing SpA | 0.88 | 0.14 | 0.09 |
| ADEL.IS | Adel Kalemcilik Ticaret ve Sanayi AS | 0.53 | 1.37 | 1.02 |
| FLTA.L | Filta Group Holdings PLC | 0.12 | 1.77 | 1.64 |
| GRA.L | Grafenia PLC | 0.34 | -0.17 | -0.14 |
| HAIDE.AT | Haidemenos SA | 1.47 | 0.12 | 0.06 |
| LAB.WA | Labo Print SA | 0.86 | 0.14 | 0.09 |
| LIG.LS | Lisgrafica Impressao e Artes Graficas SA | 41.03 | 1.45 | 0.05 |
| SAMAT.IS | Saray Matbaacilik Kagitcilik Kirtasiyecilik Ticaret ve Sanayi AS | 0.1 | 1.56 | 1.47 |
| SAXG.ST | Saxlund Group AB | 0.04 | 0.52 | 0.5 |
| SBOK.ST | ScandBook Holding AB | 0.17 | 0.05 | 0.04 |
| Low | High | |
| Unlevered beta | 0.08 | 0.26 |
| Relevered beta | 0.76 | 1.3 |
| Adjusted relevered beta | 0.84 | 1.2 |
POPR.MI'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 POPR.MI:
cost_of_equity (12.00%) = risk_free_rate (4.05%) + equity_risk_premium (7.40%) * adjusted_beta (0.84) + 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.