The WACC of Target Corp (TGT) is 6.9%.
Range | Selected | |
Cost of equity | 6.40% - 9.20% | 7.80% |
Tax rate | 21.60% - 21.90% | 21.75% |
Cost of debt | 4.60% - 4.60% | 4.60% |
WACC | 5.8% - 8.0% | 6.9% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.55 | 0.77 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.40% | 9.20% |
Tax rate | 21.60% | 21.90% |
Debt/Equity ratio | 0.26 | 0.26 |
Cost of debt | 4.60% | 4.60% |
After-tax WACC | 5.8% | 8.0% |
Selected WACC | 6.9% | |