Unichem Laboratories Ltd
NSE:UNICHEMLAB
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
Unichem Laboratories Ltd
NSE:UNICHEMLAB
|
IN |
|
F
|
Fourlis SA
ATHEX:FOYRK
|
GR |
|
Hangzhou Arcvideo Technology Co Ltd
SSE:688039
|
CN |
|
S
|
SkyWorld Development Bhd
KLSE:SKYWLD
|
MY |
|
S
|
Sumitomo Chemical Co Ltd
TSE:4005
|
JP |
|
W
|
Western Uranium & Vanadium Corp
CNSX:WUC
|
CA |
|
I
|
Innoviz Technologies Ltd
NASDAQ:INVZ
|
IL |
|
N
|
Namib Minerals
NASDAQ:NAMM
|
KY |
|
Y
|
Yoong Onn Corporation Bhd
KLSE:YOCB
|
MY |
|
M
|
Manila Broadcasting Co
XPHS:MBC
|
PH |
|
T
|
Talenom Oyj
OMXH:TNOM
|
FI |
|
KFC Holdings Japan Ltd
TSE:9873
|
JP |
|
L
|
Luharuka Media & Infra Ltd
BSE:512048
|
IN |
|
T
|
Tokyo Seimitsu Co Ltd
XBER:TYS
|
JP |
|
Lorenzini Apparels Ltd
BSE:540952
|
IN |
|
S
|
Sharc International Systems Inc
CNSX:SHRC
|
CA |
|
Summit Therapeutics Inc
NASDAQ:SMMT
|
US |
|
U
|
Updater Services Ltd
NSE:UDS
|
IN |
|
E
|
Echo Trading Co Ltd
TSE:7427
|
JP |
|
Sun Country Airlines Holdings Inc
NASDAQ:SNCY
|
US |
|
B
|
Bloober Team SA
WSE:BLO
|
PL |
|
I
|
Ibotta Inc
NYSE:IBTA
|
US |
Discount Rate
UNICHEMLAB Cost of Equity
Discount Rate
UNICHEMLAB's Cost of Equity, calculated using the formula
Risk-Free Rate + Beta x ERP,
stands at 10.74%.
The Beta, indicating the stock's volatility relative to the market, is 0.97, while the current Risk-Free Rate, based on government bond yields, is 6.69%, and the ERP, measuring the extra return over the risk-free rate required by investors, is 4.18%.
UNICHEMLAB WACC
Discount Rate
UNICHEMLAB'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 11.09%. This includes the cost of equity at 10.74%, calculated as Risk-Free Rate + Beta x ERP, and the cost of debt at 24.07%, reflecting the interest rate on
UNICHEMLAB's debt adjusted for tax benefits. The weight of debt in the capital structure is 2.65%.
What is UNICHEMLAB's discount rate?
UNICHEMLAB
's current Cost of Equity is 10.74%, while its WACC stands at 11.09%.
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 UNICHEMLAB 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
UNICHEMLAB
How is WACC for UNICHEMLAB 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
UNICHEMLAB
