RTX
Raytheon Technologies Corp
Price:  
132.37 
USD
Volume:  
9,543,374.00
United States | Aerospace & Defense
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Raytheon WACC - Weighted Average Cost of Capital

The WACC of Raytheon Technologies Corp (RTX) is 7.0%.

The Cost of Equity of Raytheon Technologies Corp (RTX) is 7.75%.
The Cost of Debt of Raytheon Technologies Corp (RTX) is 4.80%.

Range Selected
Cost of equity 6.60% - 8.90% 7.75%
Tax rate 16.50% - 18.90% 17.70%
Cost of debt 4.30% - 5.30% 4.80%
WACC 6.0% - 8.1% 7.0%
WACC

Raytheon WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.6 0.73
Additional risk adjustments 0.0% 0.5%
Cost of equity 6.60% 8.90%
Tax rate 16.50% 18.90%
Debt/Equity ratio 0.24 0.24
Cost of debt 4.30% 5.30%
After-tax WACC 6.0% 8.1%
Selected WACC 7.0%