The WACC of Prairiesky Royalty Ltd (PSK.TO) is 6.7%.
Range | Selected | |
Cost of equity | 5.50% - 7.60% | 6.55% |
Tax rate | 19.50% - 22.40% | 20.95% |
Cost of debt | 4.00% - 27.60% | 15.80% |
WACC | 5.4% - 8.0% | 6.7% |
Category | Low | High |
Long-term bond rate | 3.3% | 3.8% |
Equity market risk premium | 5.1% | 6.1% |
Adjusted beta | 0.43 | 0.55 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 5.50% | 7.60% |
Tax rate | 19.50% | 22.40% |
Debt/Equity ratio | 0.03 | 0.03 |
Cost of debt | 4.00% | 27.60% |
After-tax WACC | 5.4% | 8.0% |
Selected WACC | 6.7% | |