Skip to content

The Ensign Group, Inc. (ENSG) — WACC Analysis

WACC Breakdown

The Ensign Group, Inc. (ENSG) has a weighted average cost of capital (WACC) of 9.1%. The cost of equity is 9.2%, derived from a beta of 1.00 and a risk-free rate of 5.0%. The after-tax cost of debt is 4.4%. The capital structure is 98.6% equity and 1.4% debt.

Interpretation

A WACC of 9.1% is moderate, reflecting the market's balanced risk assessment of The Ensign Group, Inc..

Investors can compare ENSG's WACC of 9.1% against industry peers to gauge its relative financing costs. A beta of 1.00 reflects the stock's volatility relative to the broader market.

DeepViews
VALUATION

ENSG WACC: 9.13% for The Ensign Group, Inc.

Current inputs imply a 9.19% cost of equity and a 5.58% 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

The Ensign Group, Inc. Common Stock (ENSG) WACC Results
Weighted Average Cost of Capital
9.13%
Cost of Equity
9.19%
Risk-Free Rate4.96%
Beta1.00
Market Risk Premium4.23%
Cost of Debt
4.40%
Pre-Tax Cost of Debt5.58%
Tax Rate21.00%
Tax Shield1.17%
Capital Structure
Equity: 98.65%($10.20B)
Debt: 1.35%($139.74M)
Equity Component
9.07%
98.65% × 9.19%
Debt Component
0.06%
1.35% × 4.40%

The Ensign Group, Inc. (ENSG) WACC in context

The Ensign Group, Inc. (ENSG) currently screens with an estimated WACC of 9.13%. That blends a 9.19% cost of equity, a 5.58% pre-tax cost of debt, and a 98.65% 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 ENSG WACC implies

A 9.13% discount rate falls into a common range for established public companies and is a practical DCF starting point.

How this page calculates ENSG

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 1.00 and equity accounts for 98.65% 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.