Skip to content

Fossil Group, Inc. (FOSL) — WACC Analysis

WACC Breakdown

Fossil Group, Inc. (FOSL) has a weighted average cost of capital (WACC) of 11.9%. The cost of equity is 11.6%, derived from a beta of 1.77 and a risk-free rate of 5.2%. The after-tax cost of debt is 12.5%. The capital structure is 68.7% equity and 31.3% debt.

Interpretation

A WACC of 11.9% is moderate, reflecting the market's balanced risk assessment of Fossil Group, Inc..

Investors can compare FOSL's WACC of 11.9% against industry peers to gauge its relative financing costs. A beta of 1.77 reflects the stock's volatility relative to the broader market.

DeepViews
VALUATION

FOSL WACC: 11.91% for Fossil Group, Inc.

Current inputs imply a 11.62% cost of equity and a 12.54% 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

Fossil Group, Inc. Common Stock (FOSL) WACC Results
Weighted Average Cost of Capital
11.91%
Cost of Equity
11.62%
Risk-Free Rate5.22%
Beta1.77
Market Risk Premium4.23%
Cost of Debt
12.54%
Pre-Tax Cost of Debt12.54%
Tax Rate0.00%
Tax Shield0.00%
Capital Structure
Equity: 68.66%($422.84M)
Debt: 31.34%($193.01M)
Equity Component
7.98%
68.66% × 11.62%
Debt Component
3.93%
31.34% × 12.54%

Fossil Group, Inc. (FOSL) WACC in context

Fossil Group, Inc. (FOSL) currently screens with an estimated WACC of 11.91%. That blends a 11.62% cost of equity, a 12.54% pre-tax cost of debt, and a 68.66% 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 FOSL WACC implies

A 11.91% discount rate falls into a common range for established public companies and is a practical DCF starting point.

How this page calculates FOSL

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 1.77 and equity accounts for 68.66% 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.