The WACC of Spirit of Texas Bancshares Inc (STXB) is 8.0%.
Range | Selected | |
Cost of equity | 7.30% - 9.40% | 8.35% |
Tax rate | 19.90% - 20.30% | 20.10% |
Cost of debt | 5.00% - 5.00% | 5.00% |
WACC | 7.0% - 9.0% | 8.0% |
Category | Low | High |
Long-term bond rate | 3.2% | 3.7% |
Equity market risk premium | 4.2% | 5.2% |
Adjusted beta | 0.97 | 1 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.30% | 9.40% |
Tax rate | 19.90% | 20.30% |
Debt/Equity ratio | 0.08 | 0.08 |
Cost of debt | 5.00% | 5.00% |
After-tax WACC | 7.0% | 9.0% |
Selected WACC | 8.0% | |