TOS.WA
Tamex Obiekty Sportowe SA
Price:  
2.64 
PLN
Volume:  
173
Poland | Construction & Engineering

TOS.WA WACC - Weighted Average Cost of Capital

The WACC of Tamex Obiekty Sportowe SA (TOS.WA) is 8.9%.

The Cost of Equity of Tamex Obiekty Sportowe SA (TOS.WA) is 9.05%.
The Cost of Debt of Tamex Obiekty Sportowe SA (TOS.WA) is 8.9%.

RangeSelected
Cost of equity7.6% - 10.5%9.05%
Tax rate23.3% - 25.0%24.15%
Cost of debt6.7% - 11.1%8.9%
WACC7.4% - 10.4%8.9%
WACC

TOS.WA WACC calculation

CategoryLowHigh
Long-term bond rate5.5%6.0%
Equity market risk premium6.3%7.3%
Adjusted beta0.330.55
Additional risk adjustments0.0%0.5%
Cost of equity7.6%10.5%
Tax rate23.3%25.0%
Debt/Equity ratio
0.080.08
Cost of debt6.7%11.1%
After-tax WACC7.4%10.4%
Selected WACC8.9%

TOS.WA'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 TOS.WA:

cost_of_equity (9.05%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (0.33) + 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.