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American Battery Technology Company Common Stock (ABAT) — WACC Analysis

WACC Breakdown

American Battery Technology Company Common Stock (ABAT) has a weighted average cost of capital (WACC) of 11.9%. The cost of equity is 12.1%, derived from a beta of 2.13 and a risk-free rate of 4.7%. The after-tax cost of debt is 6.4%. The capital structure is 97.4% equity and 2.6% debt.

Interpretation

A WACC of 11.9% is moderate, reflecting the market's balanced risk assessment of American Battery Technology Company Common Stock.

Investors can compare ABAT's WACC of 11.9% against industry peers to gauge its relative financing costs. A beta of 2.13 reflects the stock's volatility relative to the broader market.

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VALUATION

ABAT WACC: 11.94% for American Battery Technology Company Common Stock

Current inputs imply a 12.09% cost of equity and a 6.40% pre-tax cost of debt. Use this discount rate as a starting point for DCF validation.

[01]Current Market Data
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WACC Calculation Process
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Market Data Loaded
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Company Data Fetched
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Beta Calculated (5Y)
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Inputs Auto-Populated
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WACC Calculated
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Step 2: Enter Ticker Symbol
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Step 4: Review Auto-Populated WACC Inputs

Values are automatically populated from real data. You can adjust them manually if needed.

4.30%
1.000
4.23%
5.00%
21.00%
70.00%
Debt: 30.00%Equity: 70.00%

Please enter a valid company ticker to calculate WACC

American Battery Technology Company Common Stock Common Stock (ABAT) WACC Results
Weighted Average Cost of Capital
11.94%
Cost of Equity
12.09%
Risk-Free Rate4.67%
Beta2.13
Market Risk Premium4.23%
Cost of Debt
6.40%
Pre-Tax Cost of Debt6.40%
Tax Rate0.00%
Tax Shield0.00%
Capital Structure
Equity: 97.38%($364.91M)
Debt: 2.62%($9.83M)
Equity Component
11.77%
97.38% × 12.09%
Debt Component
0.17%
2.62% × 6.40%

American Battery Technology Company Common Stock (ABAT) WACC in context

American Battery Technology Company Common Stock (ABAT) currently screens with an estimated WACC of 11.94%. That blends a 12.09% cost of equity, a 6.40% pre-tax cost of debt, and a 97.38% equity weight into the discount rate you would typically use in a DCF model.

falls into a common range for established public companies and is a practical DCF starting point.

What ABAT WACC implies

A 11.94% discount rate falls into a common range for established public companies and is a practical DCF starting point.

How this page calculates ABAT

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 2.13 and equity accounts for 97.38% of capital.

What to do next

Validate business quality on the company page, then carry the same discount-rate assumptions into the DCF page to test fair value sensitivity.

Disclaimer: This is not financial advice. Data sourced from SEC EDGAR and Polygon.io. Past performance does not guarantee future results. Always conduct your own research before making investment decisions.