SR.BK WACC - Weighted Average Cost of Capital
The WACC of Siamraj PCL (SR.BK) is 9.9%.
| Range | Selected | |
| Cost of equity | 14.5% - 19.9% | 17.2% |
| Tax rate | 10.6% - 13.3% | 11.95% |
| Cost of debt | 4.0% - 14.3% | 9.15% |
| WACC | 5.8% - 14.0% | 9.9% |
| Category | Low | High |
| Long-term bond rate | 2.6% | 3.1% |
| Equity market risk premium | 7.4% | 8.4% |
| Adjusted beta | 1.6 | 1.93 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 14.5% | 19.9% |
| Tax rate | 10.6% | 13.3% |
| Debt/Equity ratio | 3.88 | 3.88 |
| Cost of debt | 4.0% | 14.3% |
| After-tax WACC | 5.8% | 14.0% |
| Selected WACC | 9.9% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| SR.BK | Siamraj PCL | 3.88 | 0.98 | 0.22 |
| 1960.HK | TBK & Sons Holdings Ltd | 0.06 | 0.02 | 0.02 |
| 603318.SS | Dalian Energas Gas-System Co Ltd | 0.43 | 0.68 | 0.49 |
| BLZ.SI | Advanced Holdings Ltd | 1.01 | 1.91 | 1.01 |
| CAZ.BK | CAZ (Thailand) PCL | 0.96 | 1.12 | 0.61 |
| GLOBALVECT.NS | Global Vectra Helicorp Ltd | 1.27 | 1.53 | 0.72 |
| HANDAL.KL | Handal Energy Bhd | 0.92 | -0.02 | -0.01 |
| PEN.VN | Petrolimex Installation No III JSC | 1.36 | 0.73 | 0.33 |
| PXT.VN | Petroleum Pipeline & Tank Construction JSC | 0.34 | 1.45 | 1.11 |
| QLT.BK | Qualitech PCL | 0.09 | 0.53 | 0.49 |
| Low | High | |
| Unlevered beta | 0.43 | 0.54 |
| Relevered beta | 1.9 | 2.39 |
| Adjusted relevered beta | 1.6 | 1.93 |
SR.BK'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 SR.BK:
cost_of_equity (17.20%) = risk_free_rate (2.85%) + equity_risk_premium (7.90%) * adjusted_beta (1.6) + 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.