TSF.CN WACC - Weighted Average Cost of Capital
The WACC of TraceSafe Inc (TSF.CN) is 7.0%.
| Range | Selected | |
| Cost of equity | 5.5% - 9.9% | 7.7% |
| Tax rate | 25.9% - 26.5% | 26.2% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 5.2% - 8.7% | 7.0% |
| Category | Low | High |
| Long-term bond rate | 3.6% | 4.1% |
| Equity market risk premium | 5.5% | 6.5% |
| Adjusted beta | 0.36 | 0.83 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 5.5% | 9.9% |
| Tax rate | 25.9% | 26.5% |
| Debt/Equity ratio | 0.24 | 0.24 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 5.2% | 8.7% |
| Selected WACC | 7.0% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| TSF.CN | TraceSafe Inc | 0.24 | -0.58 | -0.49 |
| APP.CN | Global Cannabis Applications Corp | 0.34 | 1.26 | 1 |
| BTC.CN | Bluesky Digital Assets Corp | 0.02 | -3.85 | -3.8 |
| DUSYF | Duesenberg Technologies Inc | 1441.87 | -0.02 | 0 |
| GPOX | GPO Plus Inc | 0.29 | 0.02 | 0.02 |
| IP.CN | ImagineAR Inc | 0.07 | 2.43 | 2.31 |
| NUR.CN | Nuran Wireless Inc | 4.93 | 0.46 | 0.1 |
| OBTX | OBITX Inc | 0.03 | 0.9 | 0.89 |
| SPO.CN | SponsorsOne Inc | 0.08 | 0 | 0 |
| Low | High | |
| Unlevered beta | 0 | 0.08 |
| Relevered beta | 0.04 | 0.75 |
| Adjusted relevered beta | 0.36 | 0.83 |
TSF.CN'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 TSF.CN:
cost_of_equity (7.70%) = risk_free_rate (3.85%) + equity_risk_premium (6.00%) * adjusted_beta (0.36) + 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.