Bastion Minerals Ltd
ASX:BMODA
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
Bastion Minerals Ltd
ASX:BMODA
|
AU |
|
S
|
Shih Kuen Plastics Co Ltd
TPEX:4305
|
TW |
|
Brueder Mannesmann AG
F:BMM
|
DE |
|
E
|
ECGI Holdings Inc
OTC:ECGI
|
CA |
|
Greenthesis SpA
MIL:GTH
|
IT |
|
C
|
Core Nickel Corp
XTSX:AZEM
|
CA |
|
CHL SpA
MIL:CHL
|
IT |
|
M
|
Mandrake Resources Ltd
ASX:MAN
|
AU |
|
Corporacion Moctezuma SAB de CV
BMV:CMOCTEZ
|
MX |
|
Hempfusion Wellness Inc
TSX:CBD.U
|
US |
|
Dianthus Therapeutics Inc
NASDAQ:DNTH
|
US |
|
Magnora ASA
OTC:SVMRF
|
NO |
|
M
|
Mito Securities Co Ltd
TSE:8622
|
JP |
|
Atec Inc
OTC:ATCN
|
US |
Discount Rate
BMODA Cost of Equity
Discount Rate
BMODA's Cost of Equity, calculated using the formula Risk-Free Rate + Beta x ERP, stands at 9.72%. The Beta, indicating the stock's volatility relative to the market, is 1.08, while the current Risk-Free Rate, based on government bond yields, is 5.08%, and the ERP, measuring the extra return over the risk-free rate required by investors, is 4.3%.
BMODA WACC
Discount Rate
BMODA's Weighted Average Cost of Capital (WACC) is calculated as the weighted average of its cost of equity and cost of debt, adjusted for tax. The WACC stands at 10.86%. This includes the cost of equity at 9.72%, calculated as Risk-Free Rate + Beta x ERP, and the cost of debt at 28.78%, reflecting the interest rate on BMODA's debt adjusted for tax benefits. The weight of debt in the capital structure is 6%.
What is BMODA's discount rate?
BMODA's current Cost of Equity is 9.72%, while its WACC stands at 10.86%. The selection of the appropriate discount rate is contingent on the type of cash flows being discounted.
For Equity Valuation: When valuing equity, especially in scenarios where you are discounting cash flows to equity holders (such as Net Income, Earnings Per Share (EPS), or Free Cash Flow to Equity), the Cost of Equity should be used.
For Firm Valuation: In contrast, when valuing the entire firm and discounting cash flows available to both debt and equity holders (like Free Cash Flow to the Firm), the Weighted Average Cost of Capital (WACC) is the appropriate rate.
How is Cost of Equity for BMODA calculated?
The Cost of Equity represents the return a company must offer investors to compensate for the risk of investing in its stock. It's calculated using the Capital Asset Pricing Model (CAPM), which combines the risk-free rate, the stock's beta, and the equity risk premium (ERP).
This model considers the inherent risk of investing in the stock compared to a risk-free investment and the market's overall risk.
Here is how we calculate the cost of equity for
BMODA
How is WACC for BMODA calculated?
WACC, or Weighted Average Cost of Capital, is a calculation that reflects the average rate of return a company is expected to pay its security holders to finance its assets. It is a critical measure in financial analysis for valuing a company’s entire operations.
The WACC formula combines the costs of equity and debt, weighted by their respective proportions in the company's capital structure.
Here is how we calculate WACC for
BMODA
