The WACC of Valhi Inc (VHI) is 7.7%.
Range | Selected | |
Cost of equity | 8.70% - 12.50% | 10.60% |
Tax rate | 21.90% - 24.10% | 23.00% |
Cost of debt | 4.10% - 6.10% | 5.10% |
WACC | 6.3% - 9.0% | 7.7% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 1.06 | 1.36 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 8.70% | 12.50% |
Tax rate | 21.90% | 24.10% |
Debt/Equity ratio | 0.79 | 0.79 |
Cost of debt | 4.10% | 6.10% |
After-tax WACC | 6.3% | 9.0% |
Selected WACC | 7.7% | |