The WACC of Prairiesky Royalty Ltd (PSK.TO) is 7.4%.
Range | Selected | |
Cost of equity | 6.00% - 9.00% | 7.50% |
Tax rate | 19.50% - 22.40% | 20.95% |
Cost of debt | 4.00% - 8.70% | 6.35% |
WACC | 6.0% - 8.9% | 7.4% |
Category | Low | High |
Long-term bond rate | 3.2% | 3.7% |
Equity market risk premium | 5.1% | 6.1% |
Adjusted beta | 0.57 | 0.79 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.00% | 9.00% |
Tax rate | 19.50% | 22.40% |
Debt/Equity ratio | 0.03 | 0.03 |
Cost of debt | 4.00% | 8.70% |
After-tax WACC | 6.0% | 8.9% |
Selected WACC | 7.4% | |