UPS
United Parcel Service Inc
Price:  
128.83 
USD
Volume:  
7,269,433.00
United States | Air Freight & Logistics
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UPS WACC - Weighted Average Cost of Capital

The WACC of United Parcel Service Inc (UPS) is 8.1%.

The Cost of Equity of United Parcel Service Inc (UPS) is 8.90%.
The Cost of Debt of United Parcel Service Inc (UPS) is 4.35%.

Range Selected
Cost of equity 7.80% - 10.00% 8.90%
Tax rate 22.00% - 22.20% 22.10%
Cost of debt 4.00% - 4.70% 4.35%
WACC 7.1% - 9.1% 8.1%
WACC

UPS WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.84 0.92
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.80% 10.00%
Tax rate 22.00% 22.20%
Debt/Equity ratio 0.18 0.18
Cost of debt 4.00% 4.70%
After-tax WACC 7.1% 9.1%
Selected WACC 8.1%