The WACC of Tejon Ranch Co (TRC) is 6.0%.
Range | Selected | |
Cost of equity | 5.60% - 7.10% | 6.35% |
Tax rate | 37.70% - 41.60% | 39.65% |
Cost of debt | 5.00% - 5.00% | 5.00% |
WACC | 5.4% - 6.7% | 6.0% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.37 | 0.4 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 5.60% | 7.10% |
Tax rate | 37.70% | 41.60% |
Debt/Equity ratio | 0.1 | 0.1 |
Cost of debt | 5.00% | 5.00% |
After-tax WACC | 5.4% | 6.7% |
Selected WACC | 6.0% | |