See how we rate investing products to write unbiased product reviews. The weighted average cost of capital (WACC) is a financial ratio that measures a company's financing costs. It weighs equity ...
Reviewed by Margaret James Fact checked by Vikki Velasquez Companies and investors review the weighted average cost of ...
Nick David / Getty Images There is no specific formula in Excel or other spreadsheet applications that will calculate a company's weighted average cost of capital (WACC) for you. Instead ...
Esty, Benjamin C., and E. Scott Mayfield. "The Weighted Average Cost of Capital (WACC): Derivation, Intuition, and Applications." Harvard Business School Technical Note 221-106, June 2021.
When a financial analyst values a stock, they use the weighted average cost of capital (WACC) to find the net present value (NPV) of future cash flows. The WACC equation uses the expected value ...