UNI.WA WACC - Weighted Average Cost of Capital

The WACC of Unibep SA (UNI.WA) is 11.1%.

The Cost of Equity of Unibep SA (UNI.WA) is 13.50%.

The Cost of Debt of Unibep SA (UNI.WA) is 10.20%.

	Range	Selected
Cost of equity	12.00% - 15.00%	13.50%
Tax rate	20.10% - 21.70%	20.90%
Cost of debt	9.70% - 10.70%	10.20%
WACC	10.1% - 12.1%	11.1%

WACC

UNI.WA WACC calculation

Category	Low	High

Long-term bond rate	5.5%	6.0%
Equity market risk premium	6.3%	7.3%
Adjusted beta	1.02	1.16

Additional risk adjustments	0.0%	0.5%
Cost of equity	12.00%	15.00%

Tax rate	20.10%	21.70%
Debt/Equity ratio	0.81	0.81
Cost of debt	9.70%	10.70%

After-tax WACC	10.1%	12.1%


Selected WACC	11.1%

UNI.WA'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 UNI.WA:

cost_of_equity (13.50%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (1.02) + 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.