VISN.TA WACC - Weighted Average Cost of Capital
The WACC of Vision Sigma Ltd (VISN.TA) is 6.3%.
| Range | Selected | |
| Cost of equity | 10.5% - 15.0% | 12.75% |
| Tax rate | 18.0% - 35.4% | 26.7% |
| Cost of debt | 5.0% - 5.0% | 5% |
| WACC | 6.0% - 6.6% | 6.3% |
| Category | Low | High |
| Long-term bond rate | 4.8% | 5.3% |
| Equity market risk premium | 6.1% | 7.1% |
| Adjusted beta | 0.93 | 1.28 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 10.5% | 15.0% |
| Tax rate | 18.0% | 35.4% |
| Debt/Equity ratio | 2.44 | 2.44 |
| Cost of debt | 5.0% | 5.0% |
| After-tax WACC | 6.0% | 6.6% |
| Selected WACC | 6.3% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| VISN.TA | Vision Sigma Ltd | 2.44 | 0.59 | 0.21 |
| 1217.HK | China Innovation Investment Ltd | 0.01 | 1.26 | 1.25 |
| 378.HK | FDG Kinetic Ltd | 2.68 | 0.99 | 0.32 |
| 42T.SI | Trendlines Group Ltd | 0.16 | 0.41 | 0.36 |
| 8193.HK | Asia Pac Financial Investment Company Ltd | 0.74 | 0.3 | 0.19 |
| CHJ.SI | Uni-Asia Group Ltd | 0.9 | 0.2 | 0.12 |
| EDC.AX | Eildon Capital Ltd | 0 | 0.04 | 0.04 |
| IDJ.VN | IDJ Vietnam Investment JSC | 0.19 | 1.89 | 1.64 |
| IQ3.AX | Iq3corp Ltd | 0.56 | 0.98 | 0.69 |
| MTDS.TA | Meitav Dash Investments Ltd | 2.63 | 0.88 | 0.29 |
| SRTG.JK | Saratoga Investama Sedaya Tbk PT | 0.14 | 1.87 | 1.7 |
| Low | High | |
| Unlevered beta | 0.29 | 0.36 |
| Relevered beta | 0.9 | 1.42 |
| Adjusted relevered beta | 0.93 | 1.28 |
VISN.TA'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 VISN.TA:
cost_of_equity (12.75%) = risk_free_rate (5.05%) + equity_risk_premium (6.60%) * adjusted_beta (0.93) + 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.