RIDE
Lordstown Motors Corp
Price:  
2.20 
USD
Volume:  
1,380,640.00
United States | Automobiles
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RIDE WACC - Weighted Average Cost of Capital

The WACC of Lordstown Motors Corp (RIDE) is 8.1%.

The Cost of Equity of Lordstown Motors Corp (RIDE) is 12.55%.
The Cost of Debt of Lordstown Motors Corp (RIDE) is 5.00%.

Range Selected
Cost of equity 11.00% - 14.10% 12.55%
Tax rate 26.20% - 27.00% 26.60%
Cost of debt 5.00% - 5.00% 5.00%
WACC 7.3% - 8.9% 8.1%
WACC

RIDE WACC calculation

Category Low High
Long-term bond rate 4.2% 4.7%
Equity market risk premium 5.0% 6.0%
Adjusted beta 1.36 1.49
Additional risk adjustments 0.0% 0.5%
Cost of equity 11.00% 14.10%
Tax rate 26.20% 27.00%
Debt/Equity ratio 1 1
Cost of debt 5.00% 5.00%
After-tax WACC 7.3% 8.9%
Selected WACC 8.1%