SISE.E.IS WACC - Weighted Average Cost of Capital

The WACC of Turkiye Sise ve Cam Fabrikalari AS (SISE.E.IS) is 33.3%.

The Cost of Equity of Turkiye Sise ve Cam Fabrikalari AS (SISE.E.IS) is 45.40%.

The Cost of Debt of Turkiye Sise ve Cam Fabrikalari AS (SISE.E.IS) is 28.25%.

	Range	Selected
Cost of equity	43.50% - 47.30%	45.40%
Tax rate	18.40% - 20.00%	19.20%
Cost of debt	16.10% - 40.40%	28.25%
WACC	27.2% - 39.3%	33.3%

WACC

SISE.E.IS WACC calculation

Category	Low	High

Long-term bond rate	28.6%	29.1%
Equity market risk premium	14.6%	15.6%
Adjusted beta	1.02	1.14

Additional risk adjustments	0.0%	0.5%
Cost of equity	43.50%	47.30%

Tax rate	18.40%	20.00%
Debt/Equity ratio	1.15	1.15
Cost of debt	16.10%	40.40%

After-tax WACC	27.2%	39.3%


Selected WACC	33.3%

SISE.E.IS'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 SISE.E.IS:

cost_of_equity (45.40%) = risk_free_rate (28.85%) + equity_risk_premium (15.10%) * adjusted_beta (1.02) + 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.