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WACC Calculator

Calculate Weighted Average Cost of Capital in real time. Adjust equity, debt, and preferred stock assumptions to see how WACC changes instantly.

Market Cap / Equity ValueTotal market capitalization or equity value of the company.

Risk-Free RateTypically the 10-year U.S. Treasury yield.

Equity Risk PremiumExpected excess return of the market over the risk-free rate.

Beta (Levered)Measure of the stock's volatility relative to the market.

Cost of Equity (Ke)11.20% = 4.00% + 1.20 × 6.00%

Total DebtBook value of total debt (short-term + long-term).

Pre-tax Cost of DebtWeighted average interest rate on the company's debt.

Tax RateMarginal corporate tax rate used for the interest tax shield.

After-tax Cost of Debt (Kd)3.75% = 5.00% × (1 − 25.00%)

Preferred Stock ValueMarket value of preferred stock outstanding. Leave at 0 if none.

Cost of PreferredDividend yield on preferred stock (Dp / Pp).

9.07%

71.4%

28.6%

Equity: 71.4%

Debt: 28.6%

Weight of Equity

71.4%

Weight of Debt

28.6%

Weight of Pref

0.0%

WACC = (E/V) × Ke + (D/V) × Kd × (1 − T)

71.4% × 11.20%

+ 28.6% × 3.75%

= 9.07%

Rows = Levered Beta | Columns = Pre-tax Cost of Debt (%)

β \ Kd	3.50%	4.25%	5.00%	5.75%	6.50%
0.90	7.46%	7.62%	7.79%	7.95%	8.11%
1.05	8.11%	8.27%	8.43%	8.59%	8.75%
1.20	8.75%	8.91%	9.07%	9.23%	9.39%
1.35	9.39%	9.55%	9.71%	9.88%	10.04%
1.50	10.04%	10.20%	10.36%	10.52%	10.68%

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