The WACC of Valley National Bancorp (VLY) is 9.0%.
Range | Selected | |
Cost of equity | 8.70% - 11.30% | 10.00% |
Tax rate | 26.20% - 26.40% | 26.30% |
Cost of debt | 5.00% - 5.00% | 5.00% |
WACC | 7.9% - 10.1% | 9.0% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 1.05 | 1.14 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 8.70% | 11.30% |
Tax rate | 26.20% | 26.40% |
Debt/Equity ratio | 0.18 | 0.18 |
Cost of debt | 5.00% | 5.00% |
After-tax WACC | 7.9% | 10.1% |
Selected WACC | 9.0% | |