The WACC of Rolls-Royce Holdings PLC (RR.L) is 9.6%.
Range | Selected | |
Cost of equity | 9.20% - 11.30% | 10.25% |
Tax rate | 16.60% - 31.20% | 23.90% |
Cost of debt | 4.00% - 4.90% | 4.45% |
WACC | 8.6% - 10.5% | 9.6% |
Category | Low | High |
Long-term bond rate | 4.0% | 4.5% |
Equity market risk premium | 6.0% | 7.0% |
Adjusted beta | 0.87 | 0.91 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 9.20% | 11.30% |
Tax rate | 16.60% | 31.20% |
Debt/Equity ratio | 0.12 | 0.12 |
Cost of debt | 4.00% | 4.90% |
After-tax WACC | 8.6% | 10.5% |
Selected WACC | 9.6% | |