TTA.BK WACC - Weighted Average Cost of Capital
The WACC of Thoresen Thai Agencies PCL (TTA.BK) is 12.2%.
| Range | Selected | |
| Cost of equity | 11.6% - 18.6% | 15.1% |
| Tax rate | 1.3% - 2.1% | 1.7% |
| Cost of debt | 5.7% - 14.3% | 10% |
| WACC | 8.3% - 16.1% | 12.2% |
| Category | Low | High |
| Long-term bond rate | 2.6% | 3.1% |
| Equity market risk premium | 7.4% | 8.4% |
| Adjusted beta | 1.22 | 1.78 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 11.6% | 18.6% |
| Tax rate | 1.3% | 2.1% |
| Debt/Equity ratio | 1.24 | 1.24 |
| Cost of debt | 5.7% | 14.3% |
| After-tax WACC | 8.3% | 16.1% |
| Selected WACC | 12.2% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| TTA.BK | Thoresen Thai Agencies PCL | 1.24 | 1.06 | 0.48 |
| 600805.SS | Jiangsu Yueda Investment Co Ltd | 0.77 | 1.19 | 0.68 |
| 600855.SS | Beijing Aerospace Changfeng Co Ltd | 0.06 | 1.58 | 1.49 |
| 9045.T | Keihan Holdings Co Ltd | 1.07 | 0.37 | 0.18 |
| ASDION.KL | Asdion Bhd | 0 | 0.92 | 0.92 |
| BALMLAWRIE.NS | Balmer Lawrie and Company Ltd | 0.03 | 1.81 | 1.76 |
| BNBR.JK | Bakrie & Brothers Tbk PT | 0.23 | 1.47 | 1.2 |
| JWD.BK | JWD InfoLogistics PCL | 0.51 | 1.59 | 1.06 |
| SST.AX | Steamships Trading Company Ltd | 0.42 | 0.04 | 0.03 |
| SUC.BK | Saha-Union PCL | 0.06 | 0.24 | 0.22 |
| Low | High | |
| Unlevered beta | 0.6 | 0.97 |
| Relevered beta | 1.33 | 2.16 |
| Adjusted relevered beta | 1.22 | 1.78 |
TTA.BK'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 TTA.BK:
cost_of_equity (15.10%) = risk_free_rate (2.85%) + equity_risk_premium (7.90%) * adjusted_beta (1.22) + 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.