CAPM Cost of Equity Calculator

CAPM Cost of Equity: a planned Super Calculator tool. Covers risk-free rate (%). Stub page: the tool, its formula and a worked example are not published yet.

CAPM Cost of Equity Calculator is a planned calculator in the business section of Super Calculator, covering corporate finance.

What this calculator will compute

Inputs: risk-free rate (%), beta, equity risk premium (%), debt to equity, tax rate (%) and size premium (%).

Outputs: cost of equity (%), levered and unlevered beta and premium components.

Formula, recorded as scope and not yet verified against a primary source: Cost of equity = risk-free rate + beta * equity risk premium, optionally plus size and country risk premiums. Levered beta = unlevered beta * (1 + (1 - tax rate) * debt/equity), the Hamada relation.

Status

This page is a stub. The calculator is not built, no figure on this page has been verified against the authority that sets it, and nothing here should be used to make a decision. The page exists so that the site structure is complete and so that articles can link this concept on first mention.

The stub carries noindex, nofollow and is excluded from the sitemap.