The WACC of Square Inc (SQ) is 8.6%.
Range | Selected | |
Cost of equity | 7.30% - 10.80% | 9.05% |
Tax rate | 1.20% - 1.70% | 1.45% |
Cost of debt | 4.00% - 4.50% | 4.25% |
WACC | 7.0% - 10.3% | 8.6% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.75 | 1.07 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.30% | 10.80% |
Tax rate | 1.20% | 1.70% |
Debt/Equity ratio | 0.09 | 0.09 |
Cost of debt | 4.00% | 4.50% |
After-tax WACC | 7.0% | 10.3% |
Selected WACC | 8.6% | |