The WACC of Truist Financial Corp (TFC) is 6.9%.
Range | Selected | |
Cost of equity | 7.70% - 10.10% | 8.90% |
Tax rate | 19.00% - 19.50% | 19.25% |
Cost of debt | 5.00% - 5.00% | 5.00% |
WACC | 6.2% - 7.6% | 6.9% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.84 | 0.93 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 7.70% | 10.10% |
Tax rate | 19.00% | 19.50% |
Debt/Equity ratio | 0.68 | 0.68 |
Cost of debt | 5.00% | 5.00% |
After-tax WACC | 6.2% | 7.6% |
Selected WACC | 6.9% | |