Bangkok Commercial Asset Management PCL
SET:BAM
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
B
|
Bangkok Commercial Asset Management PCL
SET:BAM
|
TH |
|
TYMLEZ Group Ltd
F:63Q
|
AU |
|
A
|
Amcor PLC
F:485
|
UK |
|
P
|
Pinnacle Financial Partners Inc
F:PFZ
|
US |
|
U
|
Umicore SA
OTC:UMICF
|
BE |
|
Consolidated Water Co Ltd
NASDAQ:CWCO
|
KY |
|
Avalo Therapeutics Inc
NASDAQ:AVTX
|
US |
|
B
|
Blue Label Telecoms Ltd
JSE:BLU
|
ZA |
|
Baozun Inc
F:2BZ
|
CN |
|
T
|
Terreno Realty Corp
F:T37
|
US |
|
S
|
Snap-On Inc
DUS:SPU
|
US |
|
Kingsoft Cloud Holdings Ltd
NASDAQ:KC
|
CN |
|
CF Bankshares Inc
NASDAQ:CFBK
|
US |
|
InPost SA
AEX:INPST
|
LU |
|
M
|
Muenchener Rueckversicherungs Gesellschaft in Muenchen AG
XMUN:MUV2
|
DE |
|
S
|
Sega Sammy Holdings Inc
SWB:RYU
|
JP |
|
St Dupont SA
F:7EK
|
FR |
|
Daito Bank Ltd
TSE:8563
|
JP |
|
Selvaag Bolig ASA
OSE:SBO
|
NO |
|
Condor Energies Inc
TSX:CDR
|
CA |
Discount Rate
BAM Cost of Equity
Discount Rate
BAM's Cost of Equity, calculated using the formula Risk-Free Rate + Beta x ERP, stands at 5.57%. The Beta, indicating the stock's volatility relative to the market, is 0.84, while the current Risk-Free Rate, based on government bond yields, is 2.06%, and the ERP, measuring the extra return over the risk-free rate required by investors, is 4.18%.
What is BAM's discount rate?
BAM's current Cost of Equity is 5.57%.
In the valuation of banks and insurance companies, only the cost of equity is used due to their unique capital structures and regulatory environments.
These institutions heavily rely on debt, regulated more stringently than other industries, making the Weighted Average Cost of Capital (WACC) less applicable and accurate for them. The cost of equity offers a more direct measure of the risk and return expectations relevant to these specific sectors.
How is Cost of Equity for BAM 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 BAM
