TNRK WACC - Weighted Average Cost of Capital
The WACC of TNR Technical Inc (TNRK) is 5.0%.
| Range | Selected | |
| Cost of equity | 4.9% - 9.2% | 7.05% |
| Tax rate | 38.7% - 39.1% | 38.9% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 4.0% - 6.1% | 5.0% |
| Category | Low | High |
| Long-term bond rate | 3.2% | 3.7% |
| Equity market risk premium | 4.2% | 5.2% |
| Adjusted beta | 0.4 | 0.95 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 4.9% | 9.2% |
| Tax rate | 38.7% | 39.1% |
| Debt/Equity ratio | 1 | 1 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 4.0% | 6.1% |
| Selected WACC | 5.0% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| TNRK | TNR Technical Inc | 0.9 | 1 | 0.65 |
| BICB | Biocube Inc | 43.77 | -0.74 | -0.03 |
| CHGI | China Carbon Graphite Group Inc | 28.91 | 2.09 | 0.11 |
| CRTG | Coretec Group Inc | 7.3 | 56.63 | 10.39 |
| CTO.V | Circa Enterprises Inc | 0.33 | 1.35 | 1.13 |
| CYBL | Cyberlux Corp | 0.31 | 2.5 | 2.1 |
| ESNC | EnSync Inc | 0.07 | -559.2 | -537.8 |
| HOKUQ | Hoku Corp | 2.48 | 122.78 | 48.89 |
| LTHUQ | Lithium Technology Corp | 11873.33 | -69.25 | -0.01 |
| NHHH.V | FuelPositive Corp | 0.03 | 0.9 | 0.89 |
| RGSEQ | Real Goods Solar Inc | 0.03 | 1.08 | 1.06 |
| Low | High | |
| Unlevered beta | 0.65 | 1.06 |
| Relevered beta | 0.1 | 0.93 |
| Adjusted relevered beta | 0.4 | 0.95 |
TNRK's CAPM model and how its cost of Equity is calculated
The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.
This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.
Here’s how we figure out the cost of equity for TNRK:
cost_of_equity (7.05%) = risk_free_rate (3.45%) + equity_risk_premium (4.70%) * adjusted_beta (0.4) + risk_adjustments (0.25%)
We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.