YAKG.ME WACC - Weighted Average Cost of Capital

The WACC of Yakutskaya Toplivno-Energeticheskaya Kompaniya PAO (YAKG.ME) is 19.5%.

The Cost of Equity of Yakutskaya Toplivno-Energeticheskaya Kompaniya PAO (YAKG.ME) is 20.60%.

The Cost of Debt of Yakutskaya Toplivno-Energeticheskaya Kompaniya PAO (YAKG.ME) is 15.25%.

	Range	Selected
Cost of equity	19.80% - 21.40%	20.60%
Tax rate	22.90% - 27.00%	24.95%
Cost of debt	9.50% - 21.00%	15.25%
WACC	18.3% - 20.7%	19.5%

WACC

YAKG.ME WACC calculation

Category	Low	High

Long-term bond rate	15.8%	16.3%
Equity market risk premium	11.7%	12.7%
Adjusted beta	0.34	0.36

Additional risk adjustments	0.0%	0.5%
Cost of equity	19.80%	21.40%

Tax rate	22.90%	27.00%
Debt/Equity ratio	0.13	0.13
Cost of debt	9.50%	21.00%

After-tax WACC	18.3%	20.7%


Selected WACC	19.5%

YAKG.ME'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 YAKG.ME:

cost_of_equity (20.60%) = risk_free_rate (16.05%) + equity_risk_premium (12.20%) * adjusted_beta (0.34) + 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.