Skip to content

Chemed Corporation (CHE) — WACC Analysis

WACC Breakdown

Chemed Corporation (CHE) has a weighted average cost of capital (WACC) of 7.6%. The cost of equity is 7.7%, derived from a beta of 0.37 and a risk-free rate of 5.2%. The after-tax cost of debt is 1.9%. The capital structure is 97.9% equity and 2.1% debt.

Interpretation

A WACC of 7.6% suggests that the market views Chemed Corporation as relatively low-risk, with a lower cost of financing.

Investors can compare CHE's WACC of 7.6% against industry peers to gauge its relative financing costs. A beta of 0.37 reflects the stock's volatility relative to the broader market.

DeepViews
VALUATION

CHE WACC: 7.55% for Chemed Corporation

Current inputs imply a 7.67% cost of equity and a 2.34% 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

Chemed Corporation Common Stock (CHE) WACC Results
Weighted Average Cost of Capital
7.55%
Cost of Equity
7.67%
Risk-Free Rate5.22%
Beta0.37
Market Risk Premium4.23%
Cost of Debt
1.85%
Pre-Tax Cost of Debt2.34%
Tax Rate21.00%
Tax Shield0.49%
Capital Structure
Equity: 97.91%($6543.35M)
Debt: 2.09%($140.00M)
Equity Component
7.51%
97.91% × 7.67%
Debt Component
0.04%
2.09% × 1.85%

Chemed Corporation (CHE) WACC in context

Chemed Corporation (CHE) currently screens with an estimated WACC of 7.55%. That blends a 7.67% cost of equity, a 2.34% pre-tax cost of debt, and a 97.91% equity weight into the discount rate you would typically use in a DCF model.

screens as a relatively low discount rate, which usually supports higher DCF values.

What CHE WACC implies

A 7.55% discount rate screens as a relatively low discount rate, which usually supports higher DCF values.

How this page calculates CHE

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 0.37 and equity accounts for 97.91% 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.

CHE WACC: 7.55% — Chemed Corporation Cost of Capital (October 2026) | DeepViews