The WACC of Top 10 Canadian Financial Trust (TCT.UN.TO) is 7.1%.
Range | Selected | |
Cost of equity | 8.6% - 12.4% | 10.5% |
Tax rate | 26.5% - 26.5% | 26.5% |
Cost of debt | 5.0% - 5.0% | 5% |
WACC | 6.1% - 8.0% | 7.1% |
Category | Low | High |
Long-term bond rate | 3.4% | 3.9% |
Equity market risk premium | 4.7% | 5.7% |
Adjusted beta | 1.1 | 1.39 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 8.6% | 12.4% |
Tax rate | 26.5% | 26.5% |
Debt/Equity ratio | 1 | 1 |
Cost of debt | 5.0% | 5.0% |
After-tax WACC | 6.1% | 8.0% |
Selected WACC | 7.1% | |
Debt/Equity | Unlevered | |||
Peers | Company Name | ratio | Beta | beta |
TCT.UN.TO | Top 10 Canadian Financial Trust | 1.13 | 1.08 | 0.59 |
ACMC | American Church Mortgage Co | 89.78 | 0.42 | 0.01 |
CALI.CN | Fincanna Capital Corp | 9.25 | 3.55 | 0.45 |
FXBY | Foxby Corp | 0.15 | 3.55 | 3.2 |
GFI.CN | Gravitas Financial Inc | 0.04 | 1.31 | 1.27 |
HRR.UN.TO | Australian REIT Income Fund | 0.52 | 1.69 | 1.23 |
TCA.V | Timia Capital Corp | 2.12 | 0.99 | 0.39 |
WI.V | Western Investment Company of Canada Ltd | 0.14 | 0.6 | 0.54 |
ZC.V | Zimtu Capital Corp | 0.23 | -0.73 | -0.63 |
Low | High | |
Unlevered beta | 0.47 | 0.58 |
Relevered beta | 1.15 | 1.58 |
Adjusted relevered beta | 1.1 | 1.39 |