Cooper Companies Inc
NASDAQ:COO
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
Cooper Companies Inc
NASDAQ:COO
|
US |
|
R
|
RWE AG
MIL:RWE
|
DE |
|
B
|
Bank Negara Indonesia (Persero) Tbk PT
XMUN:BKE1
|
ID |
|
B
|
Bank CIMB Niaga Tbk PT
IDX:BNGA
|
ID |
|
Commonwealth Bank of Australia
ASX:CBA
|
AU |
|
Bank Rakyat Indonesia (Persero) Tbk PT
OTC:BKRKF
|
ID |
|
Carnival PLC
LSE:CCL
|
UK |
|
L
|
L'Air Liquide Societe Anonyme pour l'Etude et l'Exploitation des Procedes Georges Claude SA
XHAM:AIL
|
FR |
|
S
|
Shin-Etsu Chemical Co Ltd
OTC:SHECY
|
JP |
|
Illumina Inc
NASDAQ:ILMN
|
US |
|
Fujitsu Ltd
TSE:6702
|
JP |
|
P
|
Prudential PLC
NYSE:PUK
|
UK |
|
Bidvest Group Ltd
OTC:BDVSY
|
ZA |
|
Hess Corp
NYSE:HES
|
US |
|
Staffline Group PLC
LSE:STAF
|
UK |
|
N
|
Nippon Yusen KK
OTC:NYUKF
|
JP |
|
K
|
KDDI Corp
XBER:DIP
|
JP |
|
American International Group Inc
F:AINN
|
US |
|
NTG Nordic Transport Group AS
CSE:NTG
|
DK |
|
C
|
Chow Tai Fook Jewellery Group Ltd
XBER:1CT
|
HK |
|
V
|
Vulcan Materials Co
LSE:0LRK
|
US |
|
T
|
Target Corp
LSE:0LD8
|
US |
|
Mr Price Group Ltd
F:M5M1
|
ZA |
|
EVI Industries Inc
F:2YE
|
US |
Discount Rate
COO Cost of Equity
Discount Rate
COO's Cost of Equity, calculated using the formula Risk-Free Rate + Beta x ERP, stands at 7.92%. The Beta, indicating the stock's volatility relative to the market, is 0.85, while the current Risk-Free Rate, based on government bond yields, is 4.37%, and the ERP, measuring the extra return over the risk-free rate required by investors, is 4.18%.
COO WACC
Discount Rate
COO'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 7.37%. This includes the cost of equity at 7.92%, calculated as Risk-Free Rate + Beta x ERP, and the cost of debt at 5.08%, reflecting the interest rate on COO's debt adjusted for tax benefits. The weight of debt in the capital structure is 78.21%.
What is COO's discount rate?
COO's current Cost of Equity is 7.92%, while its WACC stands at 7.37%. 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 COO 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 COO
How is WACC for COO 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 COO
