YGG.BK
YGGDRAZIL Group PCL
Price:  
0.39 
THB
Volume:  
839,000.00
Thailand | Entertainment
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YGG.BK WACC - Weighted Average Cost of Capital

The WACC of YGGDRAZIL Group PCL (YGG.BK) is 8.4%.

The Cost of Equity of YGGDRAZIL Group PCL (YGG.BK) is 8.15%.
The Cost of Debt of YGGDRAZIL Group PCL (YGG.BK) is 9.65%.

Range Selected
Cost of equity 6.70% - 9.60% 8.15%
Tax rate 1.50% - 1.80% 1.65%
Cost of debt 7.00% - 12.30% 9.65%
WACC 6.8% - 10.0% 8.4%
WACC

YGG.BK WACC calculation

Category Low High
Long-term bond rate 2.6% 3.1%
Equity market risk premium 7.4% 8.4%
Adjusted beta 0.56 0.72
Additional risk adjustments 0.0% 0.5%
Cost of equity 6.70% 9.60%
Tax rate 1.50% 1.80%
Debt/Equity ratio 0.16 0.16
Cost of debt 7.00% 12.30%
After-tax WACC 6.8% 10.0%
Selected WACC 8.4%

YGG.BK'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 YGG.BK:

cost_of_equity (8.15%) = risk_free_rate (2.85%) + equity_risk_premium (7.90%) * adjusted_beta (0.56) + 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.