URL.CN WACC - Weighted Average Cost of Capital

The WACC of NameSilo Technologies Corp (URL.CN) is 6.6%.

The Cost of Equity of NameSilo Technologies Corp (URL.CN) is 6.70%.

The Cost of Debt of NameSilo Technologies Corp (URL.CN) is 7.90%.

	Range	Selected
Cost of equity	5.40% - 8.00%	6.70%
Tax rate	18.00% - 43.50%	30.75%
Cost of debt	4.40% - 11.40%	7.90%
WACC	5.3% - 7.9%	6.6%

WACC

URL.CN WACC calculation

Category	Low	High

Long-term bond rate	3.2%	3.7%
Equity market risk premium	5.1%	6.1%
Adjusted beta	0.44	0.62

Additional risk adjustments	0.0%	0.5%
Cost of equity	5.40%	8.00%

Tax rate	18.00%	43.50%
Debt/Equity ratio	0.04	0.04
Cost of debt	4.40%	11.40%

After-tax WACC	5.3%	7.9%


Selected WACC	6.6%

URL.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 URL.CN:

cost_of_equity (6.70%) = risk_free_rate (3.45%) + equity_risk_premium (5.60%) * adjusted_beta (0.44) + 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.