VBIX WACC - Weighted Average Cost of Capital
The WACC of Viewbix Inc (VBIX) is 5.7%.
| Range | Selected | |
| Cost of equity | 5.1% - 6.6% | 5.85% |
| Tax rate | 27.0% - 27.0% | 27% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 5.0% - 6.3% | 5.7% |
| Category | Low | High |
| Long-term bond rate | 3.2% | 3.7% |
| Equity market risk premium | 4.2% | 5.2% |
| Adjusted beta | 0.35 | 0.37 |
| Additional risk adjustments | 0.5% | 1.0% |
| Cost of equity | 5.1% | 6.6% |
| Tax rate | 27.0% | 27.0% |
| Debt/Equity ratio | 0.1 | 0.1 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 5.0% | 6.3% |
| Selected WACC | 5.7% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| VBIX | Viewbix Inc | 0.1 | -4.88 | -4.55 |
| ATRX | Adhera Therapeutics Inc | 11889.1 | -5.6 | 0 |
| AVXT | AVAX Technologies Inc | 55.99 | -70.51 | -1.68 |
| BSYI | Biosyntech Inc | 75824.01 | 0.28 | 0 |
| CGNH | CardioGenics Holdings Inc | 6.04 | -147.9 | -27.35 |
| CRXM | Gene Biotherapeutics Inc | 9078.08 | 26.31 | 0 |
| CYTH | Cyclo Therapeutics Inc | 0.51 | 0.86 | 0.62 |
| GTHR | GeneThera Inc | 229.63 | -161.33 | -0.96 |
| IMNPQ | Immune Pharmaceuticals Inc | 27.49 | 1.53 | 0.07 |
| PZRXQ | PZ Wind Down Inc | 0.61 | 38.63 | 26.68 |
| Low | High | |
| Unlevered beta | -0.38 | 0 |
| Relevered beta | 0.03 | 0.06 |
| Adjusted relevered beta | 0.35 | 0.37 |
VBIX'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 VBIX:
cost_of_equity (5.85%) = risk_free_rate (3.45%) + equity_risk_premium (4.70%) * adjusted_beta (0.35) + risk_adjustments (0.75%)
We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.