ALT Telecom PCL
SET:ALT
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
A
|
ALT Telecom PCL
SET:ALT
|
TH |
|
Stadio Holdings Ltd
F:0JX
|
ZA |
|
O
|
Oriental Food Industries Holdings Bhd
KLSE:OFI
|
MY |
|
Powszechna Kasa Oszczednosci Bank Polski SA
OTC:PSZKY
|
PL |
|
H
|
HSBC Holdings PLC
OTC:HBCYF
|
UK |
|
A
|
Air China Ltd
LSE:AIRC
|
CN |
|
Cedar Fair LP
NYSE:FUN
|
US |
|
ams OSRAM AG
SIX:AMS
|
AT |
|
CleanBnB SpA
MIL:CBB
|
IT |
|
C
|
China Resources Land Ltd
F:CHZ
|
HK |
|
O
|
Oculis Holding AG
NASDAQ:OCS
|
CH |
|
Prima Andalan Mandiri Tbk PT
IDX:MCOL
|
ID |
|
F
|
Fuji Electric Co Ltd
DUS:FJE
|
JP |
|
A
|
ACADIA Pharmaceuticals Inc
F:DR6
|
US |
|
Flutter Entertainment PLC
NYSE:FLUT
|
US |
|
Frontdoor Inc
NASDAQ:FTDR
|
US |
|
Nel ASA
OSE:NEL
|
NO |
|
BASF SE
SIX:BAS
|
DE |
|
City Chic Collective Ltd
ASX:CCX
|
AU |
|
Stanley Black & Decker Inc
NYSE:SWK
|
US |
|
Leonteq AG
SIX:LEON
|
CH |
|
Energy Action Ltd
ASX:EAX
|
AU |
|
C
|
Chorus Ltd
OTC:CHRUF
|
NZ |
|
E
|
East Japan Railway Co
OTC:EJPRF
|
JP |
Discount Rate
ALT Cost of Equity
Discount Rate
ALT's Cost of Equity, calculated using the formula Risk-Free Rate + Beta x ERP, stands at 6.98%. 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 2.34%, and the ERP, measuring the extra return over the risk-free rate required by investors, is 4.3%.
ALT WACC
Discount Rate
ALT'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 6.71%. This includes the cost of equity at 6.98%, calculated as Risk-Free Rate + Beta x ERP, and the cost of debt at 6.09%, reflecting the interest rate on ALT's debt adjusted for tax benefits. The weight of debt in the capital structure is 30.55%.
What is ALT's discount rate?
ALT's current Cost of Equity is 6.98%, while its WACC stands at 6.71%. 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 ALT 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 ALT
How is WACC for ALT 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 ALT