WEB.BR WACC - Weighted Average Cost of Capital

The WACC of Warehouses Estates Belgium SCA (WEB.BR) is 6.9%.

The Cost of Equity of Warehouses Estates Belgium SCA (WEB.BR) is 9.55%.

The Cost of Debt of Warehouses Estates Belgium SCA (WEB.BR) is 4.55%.

	Range	Selected
Cost of equity	7.20% - 11.90%	9.55%
Tax rate	-% - 0.10%	0.05%
Cost of debt	4.00% - 5.10%	4.55%
WACC	5.5% - 8.2%	6.9%

WACC

WEB.BR WACC calculation

Category	Low	High

Long-term bond rate	2.9%	3.4%
Equity market risk premium	6.0%	7.0%
Adjusted beta	0.73	1.15

Additional risk adjustments	0.0%	0.5%
Cost of equity	7.20%	11.90%

Tax rate	-%	0.10%
Debt/Equity ratio	1.15	1.15
Cost of debt	4.00%	5.10%

After-tax WACC	5.5%	8.2%


Selected WACC	6.9%

WEB.BR'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 WEB.BR:

cost_of_equity (9.55%) = risk_free_rate (3.15%) + equity_risk_premium (6.50%) * adjusted_beta (0.73) + 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.