Skip to content

Alpha Metallurgical Resources, Inc. (AMR) — WACC Analysis

WACC Breakdown

Alpha Metallurgical Resources, Inc. (AMR) has a weighted average cost of capital (WACC) of 9.1%. The cost of equity is 9.0%, derived from a beta of 0.83 and a risk-free rate of 5.2%. The after-tax cost of debt is 28.9%. The capital structure is 99.5% equity and 0.5% debt.

Interpretation

A WACC of 9.1% is moderate, reflecting the market's balanced risk assessment of Alpha Metallurgical Resources, Inc..

Investors can compare AMR's WACC of 9.1% against industry peers to gauge its relative financing costs. A beta of 0.83 reflects the stock's volatility relative to the broader market.

DeepViews
VALUATION

AMR WACC: 9.07% for Alpha Metallurgical Resources, Inc.

Current inputs imply a 8.97% cost of equity and a 28.93% pre-tax cost of debt. Use this discount rate as a starting point for DCF validation.

[01]Current Market Data
Loading market data...
[02]
WACC Calculation Process
1
Market Data Loaded
2
Company Data Fetched
3
Beta Calculated (5Y)
4
Inputs Auto-Populated
5
WACC Calculated
[03]
Step 2: Enter Ticker Symbol
Quick search:
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

Alpha Metallurgical Resources, Inc. Common Stock (AMR) WACC Results
Weighted Average Cost of Capital
9.07%
Cost of Equity
8.97%
Risk-Free Rate5.22%
Beta0.83
Market Risk Premium4.23%
Cost of Debt
28.93%
Pre-Tax Cost of Debt28.93%
Tax Rate0.00%
Tax Shield0.00%
Capital Structure
Equity: 99.51%($2302.13M)
Debt: 0.49%($11.40M)
Equity Component
8.93%
99.51% × 8.97%
Debt Component
0.14%
0.49% × 28.93%

Alpha Metallurgical Resources, Inc. (AMR) WACC in context

Alpha Metallurgical Resources, Inc. (AMR) currently screens with an estimated WACC of 9.07%. That blends a 8.97% cost of equity, a 28.93% pre-tax cost of debt, and a 99.51% 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 AMR WACC implies

A 9.07% discount rate falls into a common range for established public companies and is a practical DCF starting point.

How this page calculates AMR

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 0.83 and equity accounts for 99.51% 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.