RPC.BK WACC - Weighted Average Cost of Capital
The WACC of RPCG PCL (RPC.BK) is 13.2%.
| Range | Selected | |
| Cost of equity | 8.8% - 17.1% | 12.95% |
| Tax rate | 16.8% - 24.0% | 20.4% |
| Cost of debt | 11.2% - 22.6% | 16.9% |
| WACC | 9.3% - 17.1% | 13.2% |
| Category | Low | High |
| Long-term bond rate | 2.6% | 3.1% |
| Equity market risk premium | 7.4% | 8.4% |
| Adjusted beta | 0.84 | 1.61 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 8.8% | 17.1% |
| Tax rate | 16.8% | 24.0% |
| Debt/Equity ratio | 6.18 | 6.18 |
| Cost of debt | 11.2% | 22.6% |
| After-tax WACC | 9.3% | 17.1% |
| Selected WACC | 13.2% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| RPC.BK | RPCG PCL | 6.18 | 1.47 | 0.24 |
| 003650.KS | Michang Oil Ind Co Ltd | 0.3 | 0.09 | 0.07 |
| 060900.KQ | Daehan Green Power Corp | 0.22 | 0.13 | 0.11 |
| AI.BK | Asian Insulators PCL | 0 | 0.52 | 0.52 |
| AIE.BK | AI Energy PCL | 0 | 0.14 | 0.14 |
| ESSO.BK | Esso Thailand PCL | 1.27 | 0.8 | 0.39 |
| ETWA.JK | Eterindo Wahanatama Tbk PT | 2.71 | -1.36 | -0.42 |
| JNOS.ME | Slavneft' Yaroslavnefteorgsintez PAO | 0.8 | 0.02 | 0.01 |
| SPRC.BK | Star Petroleum Refining PCL | 0.39 | 1.13 | 0.86 |
| TAE.BK | Thai Agro Energy PCL | 3.21 | 1.61 | 0.44 |
| Low | High | |
| Unlevered beta | 0.13 | 0.3 |
| Relevered beta | 0.76 | 1.91 |
| Adjusted relevered beta | 0.84 | 1.61 |
RPC.BK'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 RPC.BK:
cost_of_equity (12.95%) = risk_free_rate (2.85%) + equity_risk_premium (7.90%) * adjusted_beta (0.84) + 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.