THG
Hanover Insurance Group Inc
Price:  
156.28 
USD
Volume:  
196,813.00
United States | Insurance
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THG WACC - Weighted Average Cost of Capital

The WACC of Hanover Insurance Group Inc (THG) is 7.1%.

The Cost of Equity of Hanover Insurance Group Inc (THG) is 7.60%.
The Cost of Debt of Hanover Insurance Group Inc (THG) is 5.00%.

Range Selected
Cost of equity 6.70% - 8.50% 7.60%
Tax rate 18.60% - 18.70% 18.65%
Cost of debt 5.00% - 5.00% 5.00%
WACC 6.3% - 7.9% 7.1%
WACC

THG WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.61 0.64
Additional risk adjustments 0.0% 0.5%
Cost of equity 6.70% 8.50%
Tax rate 18.60% 18.70%
Debt/Equity ratio 0.14 0.14
Cost of debt 5.00% 5.00%
After-tax WACC 6.3% 7.9%
Selected WACC 7.1%