TURIYA.KL WACC - Weighted Average Cost of Capital

The WACC of Turiya Bhd (TURIYA.KL) is 12.5%.

The Cost of Equity of Turiya Bhd (TURIYA.KL) is 16.20%.

The Cost of Debt of Turiya Bhd (TURIYA.KL) is 7.10%.

	Range	Selected
Cost of equity	13.40% - 19.00%	16.20%
Tax rate	14.50% - 18.70%	16.60%
Cost of debt	6.90% - 7.30%	7.10%
WACC	10.7% - 14.4%	12.5%

WACC

TURIYA.KL WACC calculation

Category	Low	High

Long-term bond rate	3.8%	4.3%
Equity market risk premium	6.9%	7.8%
Adjusted beta	1.4	1.81

Additional risk adjustments	0.0%	0.5%
Cost of equity	13.40%	19.00%

Tax rate	14.50%	18.70%
Debt/Equity ratio	0.55	0.55
Cost of debt	6.90%	7.30%

After-tax WACC	10.7%	14.4%


Selected WACC	12.5%

TURIYA.KL'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 TURIYA.KL:

cost_of_equity (16.20%) = risk_free_rate (4.05%) + equity_risk_premium (7.35%) * adjusted_beta (1.4) + 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.