Bank Polska Kasa Opieki SA
XMUN:BP1
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
B
|
Bank Polska Kasa Opieki SA
XMUN:BP1
|
PL |
|
Summerway Capital PLC
LSE:SWC
|
UK |
|
R
|
RMB Holdings Ltd
JSE:RMH
|
ZA |
|
COSCO SHIPPING Specialized Carriers Co Ltd
SSE:600428
|
CN |
|
C
|
Covista Inc
F:DVY
|
US |
|
T
|
Taruga Minerals Ltd
F:2TU
|
AU |
|
Covista Inc
NYSE:CVSA
|
US |
|
H
|
Harfang Exploration Inc
XTSX:HAR
|
CA |
|
B
|
Bank of Punjab
KAR:BOP
|
PK |
|
W
|
West Japan Railway Co
F:WEJ
|
JP |
|
C
|
CMS Energy Corp
F:CSG
|
US |
|
Wide Open Agriculture Ltd
ASX:WOA
|
AU |
|
Labrador Gold Corp
XTSX:LAB
|
CA |
|
H
|
Harfang Exploration Inc
OTC:HRFEF
|
CA |
|
S
|
Simco Songda JSC
VN:SDA
|
VN |
|
Canada Rare Earth Corp
XTSX:LL
|
CA |
|
Takashimaya Co Ltd
F:DC9
|
JP |
|
Wallenius Wilhelmsen ASA
OSE:WAWI
|
NO |
|
B
|
Bank Polska Kasa Opieki SA
WSE:PEO
|
PL |
|
S
|
Spec Products Corp
TPEX:7718
|
TW |
|
N
|
New Stratus Energy Inc
XTSX:NSE
|
CA |
|
C
|
CMS Energy Corp
SWB:CSG
|
US |
|
A
|
Allied Bank Ltd
KAR:ABL
|
PK |
|
Lindian Resources Ltd
ASX:LIN
|
AU |
Discount Rate
BP1 Cost of Equity
Discount Rate
BP1's Cost of Equity, calculated using the formula Risk-Free Rate + Beta x ERP, stands at 8.85%. The Beta, indicating the stock's volatility relative to the market, is 0.68, while the current Risk-Free Rate, based on government bond yields, is 5.85%, and the ERP, measuring the extra return over the risk-free rate required by investors, is 4.3%.
What is BP1's discount rate?
BP1's current Cost of Equity is 8.85%.
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 BP1 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 BP1
