ZILL.ME WACC - Weighted Average Cost of Capital

The WACC of AMO ZIL PAO (ZILL.ME) is 12.0%.

The Cost of Equity of AMO ZIL PAO (ZILL.ME) is 24.20%.

The Cost of Debt of AMO ZIL PAO (ZILL.ME) is 5.50%.

	Range	Selected
Cost of equity	19.60% - 28.80%	24.20%
Tax rate	8.80% - 14.60%	11.70%
Cost of debt	4.00% - 7.00%	5.50%
WACC	9.6% - 14.5%	12.0%

WACC

ZILL.ME WACC calculation

Category	Low	High

Long-term bond rate	11.6%	12.1%
Equity market risk premium	6.9%	7.9%
Adjusted beta	1.16	2.04

Additional risk adjustments	0.0%	0.5%
Cost of equity	19.60%	28.80%

Tax rate	8.80%	14.60%
Debt/Equity ratio	1.69	1.69
Cost of debt	4.00%	7.00%

After-tax WACC	9.6%	14.5%


Selected WACC	12.0%

ZILL.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 ZILL.ME:

cost_of_equity (24.20%) = risk_free_rate (11.85%) + equity_risk_premium (7.40%) * adjusted_beta (1.16) + 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.