The WACC of Charles Schwab Corp (SCHW) is 8.7%.
Range | Selected | |
Cost of equity | 9.30% - 15.40% | 12.35% |
Tax rate | 23.40% - 23.50% | 23.45% |
Cost of debt | 4.00% - 15.60% | 9.80% |
WACC | 4.6% - 12.8% | 8.7% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 1.17 | 1.88 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 9.30% | 15.40% |
Tax rate | 23.40% | 23.50% |
Debt/Equity ratio | 2.93 | 2.93 |
Cost of debt | 4.00% | 15.60% |
After-tax WACC | 4.6% | 12.8% |
Selected WACC | 8.7% | |