YBAR.MC WACC - Weighted Average Cost of Capital

The WACC of Barcino Property SOCIMI SA (YBAR.MC) is 6.6%.

The Cost of Equity of Barcino Property SOCIMI SA (YBAR.MC) is 6.40%.

The Cost of Debt of Barcino Property SOCIMI SA (YBAR.MC) is 9.50%.

	Range	Selected
Cost of equity	5.50% - 7.30%	6.40%
Tax rate	25.00% - 25.00%	25.00%
Cost of debt	4.10% - 14.90%	9.50%
WACC	4.8% - 8.4%	6.6%

WACC

YBAR.MC WACC calculation

Category	Low	High

Long-term bond rate	3.1%	3.6%
Equity market risk premium	7.4%	8.4%
Adjusted beta	0.33	0.38

Additional risk adjustments	0.0%	0.5%
Cost of equity	5.50%	7.30%

Tax rate	25.00%	25.00%
Debt/Equity ratio	0.39	0.39
Cost of debt	4.10%	14.90%

After-tax WACC	4.8%	8.4%


Selected WACC	6.6%

YBAR.MC'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 YBAR.MC:

cost_of_equity (6.40%) = risk_free_rate (3.35%) + equity_risk_premium (7.90%) * adjusted_beta (0.33) + 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.