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CADIZ, Inc. (CDZI) — WACC Analysis

WACC Breakdown

CADIZ, Inc. (CDZI) has a weighted average cost of capital (WACC) of 10.5%. The cost of equity is 10.3%, derived from a beta of 1.29 and a risk-free rate of 5.2%. The after-tax cost of debt is 11.4%. The capital structure is 77.8% equity and 22.2% debt.

Interpretation

A WACC of 10.5% is moderate, reflecting the market's balanced risk assessment of CADIZ, Inc..

Investors can compare CDZI's WACC of 10.5% against industry peers to gauge its relative financing costs. A beta of 1.29 reflects the stock's volatility relative to the broader market.

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VALUATION

CDZI WACC: 10.52% for CADIZ, Inc.

Current inputs imply a 10.27% cost of equity and a 11.42% 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

CADIZ, Inc. Common Stock (CDZI) WACC Results
Weighted Average Cost of Capital
10.52%
Cost of Equity
10.27%
Risk-Free Rate5.22%
Beta1.29
Market Risk Premium4.23%
Cost of Debt
11.42%
Pre-Tax Cost of Debt11.42%
Tax Rate0.00%
Tax Shield0.00%
Capital Structure
Equity: 77.80%($304.84M)
Debt: 22.20%($86.98M)
Equity Component
7.99%
77.80% × 10.27%
Debt Component
2.54%
22.20% × 11.42%

CADIZ, Inc. (CDZI) WACC in context

CADIZ, Inc. (CDZI) currently screens with an estimated WACC of 10.52%. That blends a 10.27% cost of equity, a 11.42% pre-tax cost of debt, and a 77.80% 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 CDZI WACC implies

A 10.52% discount rate falls into a common range for established public companies and is a practical DCF starting point.

How this page calculates CDZI

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 1.29 and equity accounts for 77.80% 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.