YVR WACC - Weighted Average Cost of Capital
The WACC of Liquid Media Group Ltd (YVR) is 6.7%.
| Range | Selected | |
| Cost of equity | 5.8% - 7.4% | 6.6% |
| Tax rate | 0.0% - 0.5% | 0.25% |
| Cost of debt | 7.0% - 7.4% | 7.2% |
| WACC | 6.0% - 7.4% | 6.7% |
| Category | Low | High |
| Long-term bond rate | 4.2% | 4.7% |
| Equity market risk premium | 5.0% | 6.0% |
| Adjusted beta | 0.33 | 0.38 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 5.8% | 7.4% |
| Tax rate | 0.0% | 0.5% |
| Debt/Equity ratio | 0.1 | 0.1 |
| Cost of debt | 7.0% | 7.4% |
| After-tax WACC | 6.0% | 7.4% |
| Selected WACC | 6.7% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| YVR | Liquid Media Group Ltd | 0.1 | 0.71 | 0.64 |
| AMRU | Amaru Inc | 6360.53 | 1.62 | 0 |
| FMYR | BOMCBD Corp | 7828.93 | 0.38 | 0 |
| HLWD | Almost Never Films Inc | 119.7 | 0.53 | 0 |
| KUKE | Kuke Music Holding Ltd | 0.81 | -0.48 | -0.27 |
| MVES | Movie Studio Inc | 154.86 | -0.27 | 0 |
| NTEK | NanoTech Entertainment Inc | 284.92 | 0 | 0 |
| PRSN.V | Personas Social Inc | 0.03 | -2.94 | -2.86 |
| SEGI | Sycamore Entertainment Group Inc | 2.98 | -1.02 | -0.26 |
| SSET | StarStream Entertainment Inc | 13.02 | 1.87 | 0.13 |
| Low | High | |
| Unlevered beta | 0 | 0 |
| Relevered beta | 0 | 0.07 |
| Adjusted relevered beta | 0.33 | 0.38 |
YVR'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 YVR:
cost_of_equity (6.60%) = risk_free_rate (4.45%) + equity_risk_premium (5.50%) * 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.