The WACC of Teekay Tankers Ltd (TNK) is 7.0%.
Range | Selected | |
Cost of equity | 6.00% - 8.30% | 7.15% |
Tax rate | 1.40% - 4.20% | 2.80% |
Cost of debt | 4.50% - 4.70% | 4.60% |
WACC | 5.8% - 8.1% | 7.0% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.45 | 0.62 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.00% | 8.30% |
Tax rate | 1.40% | 4.20% |
Debt/Equity ratio | 0.07 | 0.07 |
Cost of debt | 4.50% | 4.70% |
After-tax WACC | 5.8% | 8.1% |
Selected WACC | 7.0% | |