The WACC of Redwood Trust Inc (RWT) is 12.7%.
| Range | Selected | |
| Cost of equity | 6.80% - 10.20% | 8.50% |
| Tax rate | 5.00% - 7.60% | 6.30% |
| Cost of debt | 4.10% - 23.90% | 14.00% |
| WACC | 4.1% - 21.2% | 12.7% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 0.64 | 0.95 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.80% | 10.20% |
| Tax rate | 5.00% | 7.60% |
| Debt/Equity ratio | 13.7 | 13.7 |
| Cost of debt | 4.10% | 23.90% |
| After-tax WACC | 4.1% | 21.2% |
| Selected WACC | 12.7% | |