SANO1.TA WACC - Weighted Average Cost of Capital
The WACC of Sano Brunos Enterprises Ltd (SANO1.TA) is 11.4%.
| Range | Selected | |
| Cost of equity | 10.2% - 12.7% | 11.45% |
| Tax rate | 22.2% - 22.3% | 22.25% |
| Cost of debt | 4.0% - 5.4% | 4.7% |
| WACC | 10.1% - 12.6% | 11.4% |
| Category | Low | High |
| Long-term bond rate | 4.8% | 5.3% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.87 | 0.96 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 10.2% | 12.7% |
| Tax rate | 22.2% | 22.3% |
| Debt/Equity ratio | 0.01 | 0.01 |
| Cost of debt | 4.0% | 5.4% |
| After-tax WACC | 10.1% | 12.6% |
| Selected WACC | 11.4% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| SANO1.TA | Sano Brunos Enterprises Ltd | 0.01 | 0.78 | 0.78 |
| 000737.SZ | Nafine Chemical Industry Group Co Ltd | 0.4 | 1.27 | 0.96 |
| 004540.KS | Kleannara Co Ltd | 3.93 | 0.59 | 0.14 |
| 065950.KQ | Welcron Co Ltd | 2.66 | 0.35 | 0.11 |
| 2222.HK | NVC International Holdings Ltd | 0.02 | 0.94 | 0.93 |
| 4951.T | ST Corp | 0.02 | 0.35 | 0.34 |
| 600651.SS | Shanghai Feilo Acoustics Co Ltd | 0.09 | 1.46 | 1.36 |
| 603630.SS | Lafang China Co Ltd | 0 | 0.99 | 0.99 |
| DGC.VN | Ducgiang Chemicals Group JSC | 0.03 | 1.42 | 1.39 |
| JYOTHYLAB.NS | Jyothy Labs Ltd | 0 | 0.88 | 0.88 |
| UCID.JK | Uni-charm Indonesia PT | 0.11 | 0.75 | 0.69 |
| Low | High | |
| Unlevered beta | 0.78 | 0.93 |
| Relevered beta | 0.81 | 0.94 |
| Adjusted relevered beta | 0.87 | 0.96 |
SANO1.TA'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 SANO1.TA:
cost_of_equity (11.45%) = risk_free_rate (5.05%) + equity_risk_premium (6.60%) * adjusted_beta (0.87) + 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.