Evergreen Products Group Ltd
HKEX:1962
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
E
|
Evergreen Products Group Ltd
HKEX:1962
|
HK |
|
Ormat Technologies Inc
NYSE:ORA
|
US |
|
T
|
Tay Ninh Cable Car Tour Co
VN:TCT
|
VN |
|
Samsung Engineering Co Ltd
KRX:028050
|
KR |
|
Anglo American Platinum Ltd
OTC:AGPPF
|
ZA |
|
Trustmark Corp
NASDAQ:TRMK
|
US |
|
OEL (Holdings) Ltd
SGX:584
|
SG |
|
CL Educate Ltd
NSE:CLEDUCATE
|
IN |
|
M
|
Maui Land & Pineapple Company Inc
NYSE:MLP
|
US |
|
V
|
Volkswagen AG
LSE:0P6O
|
DE |
|
GDS Holdings Ltd
HKEX:9698
|
CN |
|
Z
|
Zhejiang Wanma Co Ltd
SZSE:002276
|
CN |
|
N
|
New Toyo International Holdings Ltd
SGX:N08
|
SG |
|
C
|
CircuTech International Holdings Ltd
HKEX:8051
|
HK |
|
A
|
Anemoi International Ltd
LSE:AMOI
|
VG |
|
Corporacion Acciona Energias Renovables SA
MAD:ANE
|
ES |
|
T
|
Turkiye Sigorta AS
IST:TURSG.E
|
TR |
|
Lululemon Athletica Inc
NASDAQ:LULU
|
CA |
|
Storskogen Group AB (publ)
STO:STOR B
|
SE |
|
Diodes Inc
NASDAQ:DIOD
|
US |
Discount Rate
Cost of Equity
Discount Rate
Evergreen Products Group Ltd's Cost of Equity, calculated using the formula Risk-Free Rate + Beta x ERP, stands at 6.9%. The Beta, indicating the stock's volatility relative to the market, is 0.77, while the current Risk-Free Rate, based on government bond yields, is 3.69%, and the ERP, measuring the extra return over the risk-free rate required by investors, is 4.18%.
WACC
Discount Rate
Evergreen Products Group Ltd'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 11.64%. This includes the cost of equity at 6.9%, calculated as Risk-Free Rate + Beta x ERP, and the cost of debt at 40%, reflecting the interest rate on Evergreen Products Group Ltd's debt adjusted for tax benefits. The weight of debt in the capital structure is 14.32%.
What is Evergreen Products Group Ltd's discount rate?
Evergreen Products Group Ltd 's current Cost of Equity is 6.9%, while its WACC stands at 11.64%. 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 Evergreen Products Group Ltd 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 Evergreen Products Group Ltd
How is WACC for Evergreen Products Group Ltd 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 Evergreen Products Group Ltd
