QLGN WACC - Weighted Average Cost of Capital
The WACC of Qualigen Therapeutics Inc (QLGN) is 8.3%.
| Range | Selected | |
| Cost of equity | 7.6% - 12.1% | 9.85% |
| Tax rate | 0.0% - 0.0% | 0% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 6.8% - 9.9% | 8.3% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 0.82 | 1.29 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 7.6% | 12.1% |
| Tax rate | 0.0% | 0.0% |
| Debt/Equity ratio | 0.47 | 0.47 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 6.8% | 9.9% |
| Selected WACC | 8.3% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| QLGN | Qualigen Therapeutics Inc | 0.47 | 2.19 | 1.49 |
| ACHV | Achieve Life Sciences Inc | 0.09 | 2.06 | 1.88 |
| AGE | AgeX Therapeutics Inc | 0.65 | -0.7 | -0.42 |
| ALNA | Allena Pharmaceuticals Inc | 0.77 | 1.14 | 0.64 |
| ATNM | Actinium Pharmaceuticals Inc | 0 | 1.94 | 1.94 |
| FSTX | F-Star Therapeutics Inc | 0.06 | 1.01 | 0.96 |
| MRNA | Moderna Inc | 0.01 | 1.03 | 1.02 |
| SYN | Synthetic Biologics Inc | 0.02 | 1.38 | 1.36 |
| SZLS.TO | StageZero Life Sciences Ltd | 0.5 | 0.27 | 0.18 |
| WINT | Windtree Therapeutics Inc | 0.23 | 1.76 | 1.43 |
| YTEN | Yield10 Bioscience Inc | 3.51 | 0.06 | 0.01 |
| Low | High | |
| Unlevered beta | 0.96 | 1.36 |
| Relevered beta | 0.73 | 1.43 |
| Adjusted relevered beta | 0.82 | 1.29 |
QLGN'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 QLGN:
cost_of_equity (9.85%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (0.82) + 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.