The WACC of Parsons Corp (PSN) is 7.3%.
Range | Selected | |
Cost of equity | 6.80% - 9.20% | 8.00% |
Tax rate | 21.10% - 22.30% | 21.70% |
Cost of debt | 4.00% - 4.50% | 4.25% |
WACC | 6.2% - 8.3% | 7.3% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.63 | 0.77 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.80% | 9.20% |
Tax rate | 21.10% | 22.30% |
Debt/Equity ratio | 0.18 | 0.18 |
Cost of debt | 4.00% | 4.50% |
After-tax WACC | 6.2% | 8.3% |
Selected WACC | 7.3% | |