SCCC.BK
Siam City Cement PCL
Price:  
147 
THB
Volume:  
30,100
Thailand | Construction Materials

SCCC.BK WACC - Weighted Average Cost of Capital

The WACC of Siam City Cement PCL (SCCC.BK) is 9.2%.

The Cost of Equity of Siam City Cement PCL (SCCC.BK) is 11.8%.
The Cost of Debt of Siam City Cement PCL (SCCC.BK) is 4.25%.

RangeSelected
Cost of equity9.6% - 14.0%11.8%
Tax rate16.6% - 17.7%17.15%
Cost of debt4.0% - 4.5%4.25%
WACC7.6% - 10.7%9.2%
WACC

SCCC.BK WACC calculation

CategoryLowHigh
Long-term bond rate2.6%3.1%
Equity market risk premium7.4%8.4%
Adjusted beta0.951.23
Additional risk adjustments0.0%0.5%
Cost of equity9.6%14.0%
Tax rate16.6%17.7%
Debt/Equity ratio
0.460.46
Cost of debt4.0%4.5%
After-tax WACC7.6%10.7%
Selected WACC9.2%

SCCC.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 SCCC.BK:

cost_of_equity (11.80%) = risk_free_rate (2.85%) + equity_risk_premium (7.90%) * adjusted_beta (0.95) + 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.