WACC Calculator
What is my company’s cost of capital?
WACC is the blended return a company must earn for both its shareholders and lenders. It is the usual discount rate for valuing the whole business.
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How this calculator works
Cost of equity (CAPM) = risk-free rate + beta × market risk premium. After-tax cost of debt = cost of debt × (1 − tax rate). WACC = equity weight × cost of equity + debt weight × after-tax cost of debt.
Frequently asked questions
Where do I find beta?
For listed companies, financial data sites publish betas. For private companies, analysts often use the average beta of similar listed companies.
Why is debt cheaper than equity?
Lenders are paid first and interest is often tax-deductible, so debt usually costs less — but more debt raises financial risk.
Results are estimates based on the numbers you enter and simplified assumptions. They are not financial advice. See our disclaimer.