The WACC of Rio Tinto PLC (RIO.L) is 9.5%.
Range | Selected | |
Cost of equity | 8.70% - 12.00% | 10.35% |
Tax rate | 29.20% - 31.00% | 30.10% |
Cost of debt | 4.10% - 4.60% | 4.35% |
WACC | 8.0% - 10.9% | 9.5% |
Category | Low | High |
Long-term bond rate | 4.0% | 4.5% |
Equity market risk premium | 6.0% | 7.0% |
Adjusted beta | 0.78 | 1 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 8.70% | 12.00% |
Tax rate | 29.20% | 31.00% |
Debt/Equity ratio | 0.13 | 0.13 |
Cost of debt | 4.10% | 4.60% |
After-tax WACC | 8.0% | 10.9% |
Selected WACC | 9.5% | |