China Merchants Bank Co Ltd
XMUN:M4B
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
C
|
China Merchants Bank Co Ltd
XMUN:M4B
|
CN |
|
K
|
KKR & Co Inc
F:KR51
|
US |
|
F
|
Fomento Economico Mexicano SAB de CV
SWB:FOMA
|
MX |
|
H
|
Hudbay Minerals Inc
F:OCKA
|
CA |
|
D
|
Draganfly Inc
F:3U8A
|
CA |
|
A
|
Air Water Inc
XBER:0AW
|
JP |
|
Bell Food Group AG
SIX:BELL
|
CH |
|
Medicover AB
F:5M0B
|
SE |
|
M
|
Mosaic Co
BMV:MOS
|
US |
|
M
|
Marley Spoon Group SE
XBER:MS1
|
LU |
|
ATAI Life Sciences NV
F:9VC
|
DE |
|
Loop Industries Inc
NASDAQ:LOOP
|
CA |
|
B
|
Baxter International Inc
XBER:BTL
|
US |
|
V
|
Veeco Instruments Inc
XBER:VEO
|
US |
|
H
|
Harmony Gold Mining Company Ltd
XBER:HAM1
|
ZA |
|
C
|
CITIC Ltd
XBER:CPF
|
CN |
|
T
|
Travelers Companies Inc
F:PA9
|
US |
|
S
|
Samsung C&T Corp
KRX:02826K
|
KR |
|
Q
|
Qiagen NV
F:QIA
|
NL |
|
JD Logistics Inc
OTC:JDLGF
|
CN |
|
T
|
Telekom Austria AG
SWB:TA1
|
AT |
|
B
|
Boot Barn Holdings Inc
F:OBB
|
US |
|
Bath & Body Works Inc
NYSE:BBWI
|
US |
|
Carter Bank and Trust
NASDAQ:CARE
|
US |
Discount Rate
M4B Cost of Equity
Discount Rate
M4B's Cost of Equity, calculated using the formula Risk-Free Rate + Beta x ERP, stands at 4.86%. The Beta, indicating the stock's volatility relative to the market, is 0.74, while the current Risk-Free Rate, based on government bond yields, is 1.76%, and the ERP, measuring the extra return over the risk-free rate required by investors, is 4.18%.
What is M4B's discount rate?
M4B's current Cost of Equity is 4.86%.
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 M4B 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
M4B
