The WACC of Encore Wire Corp (WIRE) is 7.5%.
Range | Selected | |
Cost of equity | 6.90% - 15.30% | 11.10% |
Tax rate | 22.80% - 23.00% | 22.90% |
Cost of debt | 5.00% - 5.00% | 5.00% |
WACC | 5.4% - 9.6% | 7.5% |
Category | Low | High |
Long-term bond rate | 3.9% | 4.4% |
Equity market risk premium | 4.6% | 5.6% |
Adjusted beta | 0.67 | 1.87 |
Additional risk adjustments | 0.0% | 0.5% |
Cost of equity | 6.90% | 15.30% |
Tax rate | 22.80% | 23.00% |
Debt/Equity ratio | 1 | 1 |
Cost of debt | 5.00% | 5.00% |
After-tax WACC | 5.4% | 9.6% |
Selected WACC | 7.5% | |