WACC (Weighted Average Cost of Capital)

Risk & Cost of Capital

What is WACC (Weighted Average Cost of Capital)?

The blended cost of a company's debt and equity financing, weighted by their proportions in the capital structure.

Why WACC (Weighted Average Cost of Capital) matters

Used as the discount rate in DCF models. Represents the minimum return a company needs to generate to satisfy its investors.

Where this appears in StockFind

Valuation Models

DCF and Residual Income calculators with assumptions you can see and change. Watch how the estimate moves when you do.

Related terms in Risk & Cost of Capital

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Definitions are provided for educational and informational purposes only and are not investment advice. Consult a qualified financial advisor before making investment decisions.