SEYAIND.NS WACC - Weighted Average Cost of Capital
The WACC of Seya Industries Ltd (SEYAIND.NS) is 7.4%.
| Range | Selected | |
| Cost of equity | 39.7% - 62.8% | 51.25% |
| Tax rate | 7.9% - 11.8% | 9.85% |
| Cost of debt | 4.0% - 7.0% | 5.5% |
| WACC | 5.6% - 9.2% | 7.4% |
| Category | Low | High |
| Long-term bond rate | 6.9% | 7.4% |
| Equity market risk premium | 8.3% | 9.3% |
| Adjusted beta | 3.95 | 5.9 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 39.7% | 62.8% |
| Tax rate | 7.9% | 11.8% |
| Debt/Equity ratio | 17.8 | 17.8 |
| Cost of debt | 4.0% | 7.0% |
| After-tax WACC | 5.6% | 9.2% |
| Selected WACC | 7.4% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| SEYAIND.NS | Seya Industries Ltd | 17.8 | -0.29 | -0.02 |
| 506642.BO | Sadhana Nitro Chem Ltd | 0.04 | 0.56 | 0.54 |
| 513353.BO | Cochin Minerals and Rutile Ltd | 0.02 | 0.85 | 0.83 |
| 524717.BO | Titan Biotech Ltd | 0.02 | 0.18 | 0.17 |
| 530845.BO | Sunshield Chemicals Ltd | 0.15 | 2.02 | 1.77 |
| 541167.BO | Yasho Industries Ltd | 0.16 | 0.84 | 0.74 |
| AMBICAAGAR.NS | Ambica Agarbathies Aroma & Industries Ltd | 1.27 | 0.73 | 0.34 |
| CHEMBOND.NS | Chembond Chemicals Ltd | 0.02 | 0.16 | 0.16 |
| MAHICKRA.NS | Mahickra Chemicals Ltd | 0.13 | 0.31 | 0.28 |
| VIKASECO.NS | Vikas Ecotech Ltd | 0.05 | 0.57 | 0.55 |
| Low | High | |
| Unlevered beta | 0.32 | 0.54 |
| Relevered beta | 5.4 | 8.31 |
| Adjusted relevered beta | 3.95 | 5.9 |
SEYAIND.NS'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 SEYAIND.NS:
cost_of_equity (51.25%) = risk_free_rate (7.15%) + equity_risk_premium (8.80%) * adjusted_beta (3.95) + 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.