VZ
Verizon Communications Inc
Price:  
39.93 
USD
Volume:  
17,058,948.00
United States | Diversified Telecommunication Services
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Verizon WACC - Weighted Average Cost of Capital

The WACC of Verizon Communications Inc (VZ) is 5.7%.

The Cost of Equity of Verizon Communications Inc (VZ) is 7.65%.
The Cost of Debt of Verizon Communications Inc (VZ) is 4.60%.

Range Selected
Cost of equity 6.40% - 8.90% 7.65%
Tax rate 23.10% - 23.30% 23.20%
Cost of debt 4.00% - 5.20% 4.60%
WACC 4.9% - 6.6% 5.7%
WACC

Verizon WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.55 0.71
Additional risk adjustments 0.0% 0.5%
Cost of equity 6.40% 8.90%
Tax rate 23.10% 23.30%
Debt/Equity ratio 0.88 0.88
Cost of debt 4.00% 5.20%
After-tax WACC 4.9% 6.6%
Selected WACC 5.7%