VASTN.AS WACC - Weighted Average Cost of Capital

The WACC of Vastned Retail NV (VASTN.AS) is 5.4%.

The Cost of Equity of Vastned Retail NV (VASTN.AS) is 7.20%.

The Cost of Debt of Vastned Retail NV (VASTN.AS) is 4.40%.

	Range	Selected
Cost of equity	5.00% - 9.40%	7.20%
Tax rate	3.30% - 4.80%	4.05%
Cost of debt	4.00% - 4.80%	4.40%
WACC	4.3% - 6.5%	5.4%

WACC

VASTN.AS WACC calculation

Category	Low	High

Long-term bond rate	2.6%	3.1%
Equity market risk premium	5.1%	6.1%
Adjusted beta	0.48	0.96

Additional risk adjustments	0.0%	0.5%
Cost of equity	5.00%	9.40%

Tax rate	3.30%	4.80%
Debt/Equity ratio	1.5	1.5
Cost of debt	4.00%	4.80%

After-tax WACC	4.3%	6.5%


Selected WACC	5.4%

VASTN.AS'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 VASTN.AS:

cost_of_equity (7.20%) = risk_free_rate (2.85%) + equity_risk_premium (5.60%) * adjusted_beta (0.48) + 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.