SEM.VI WACC - Weighted Average Cost of Capital

The WACC of Semperit AG Holding (SEM.VI) is 6.5%.

The Cost of Equity of Semperit AG Holding (SEM.VI) is 8.45%.

The Cost of Debt of Semperit AG Holding (SEM.VI) is 4.80%.

	Range	Selected
Cost of equity	6.70% - 10.20%	8.45%
Tax rate	25.00% - 25.00%	25.00%
Cost of debt	4.00% - 5.60%	4.80%
WACC	5.2% - 7.8%	6.5%

WACC

SEM.VI WACC calculation

Category	Low	High

Long-term bond rate	2.8%	3.3%
Equity market risk premium	5.7%	6.7%
Adjusted beta	0.69	0.96

Additional risk adjustments	0.0%	0.5%
Cost of equity	6.70%	10.20%

Tax rate	25.00%	25.00%
Debt/Equity ratio	0.66	0.66
Cost of debt	4.00%	5.60%

After-tax WACC	5.2%	7.8%


Selected WACC	6.5%

SEM.VI'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 SEM.VI:

cost_of_equity (8.45%) = risk_free_rate (3.05%) + equity_risk_premium (6.20%) * adjusted_beta (0.69) + 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.