SYRS
Syros Pharmaceuticals Inc
Price:  
0.12 
USD
Volume:  
14,991,631.00
United States | Biotechnology
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SYRS WACC - Weighted Average Cost of Capital

The WACC of Syros Pharmaceuticals Inc (SYRS) is 21.3%.

The Cost of Equity of Syros Pharmaceuticals Inc (SYRS) is 68.35%.
The Cost of Debt of Syros Pharmaceuticals Inc (SYRS) is 27.90%.

Range Selected
Cost of equity 22.60% - 114.10% 68.35%
Tax rate 26.20% - 27.00% 26.60%
Cost of debt 7.00% - 48.80% 27.90%
WACC 5.5% - 37.1% 21.3%
WACC

SYRS WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 4.08 19.5
Additional risk adjustments 0.0% 0.5%
Cost of equity 22.60% 114.10%
Tax rate 26.20% 27.00%
Debt/Equity ratio 54.48 54.48
Cost of debt 7.00% 48.80%
After-tax WACC 5.5% 37.1%
Selected WACC 21.3%

SYRS'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 SYRS:

cost_of_equity (68.35%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (4.08) + 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.