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Liberty Global Ltd. Class A Common Shares (LBTYA) — WACC Analysis

WACC Breakdown

Liberty Global Ltd. Class A Common Shares (LBTYA) has a weighted average cost of capital (WACC) of 6.5%. The cost of equity is 8.5%, derived from a beta of 0.76 and a risk-free rate of 5.0%. The after-tax cost of debt is 5.6%. The capital structure is 30.2% equity and 69.8% debt.

Interpretation

A WACC of 6.5% suggests that the market views Liberty Global Ltd. Class A Common Shares as relatively low-risk, with a lower cost of financing.

Investors can compare LBTYA's WACC of 6.5% against industry peers to gauge its relative financing costs. A beta of 0.76 reflects the stock's volatility relative to the broader market.

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VALUATION

LBTYA WACC: 6.50% for Liberty Global Ltd. Class A Common Shares

Current inputs imply a 8.51% cost of equity and a 5.63% 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

Liberty Global Ltd. Class A Common Shares Common Stock (LBTYA) WACC Results
Weighted Average Cost of Capital
6.50%
Cost of Equity
8.51%
Risk-Free Rate4.96%
Beta0.76
Market Risk Premium4.23%
Cost of Debt
5.63%
Pre-Tax Cost of Debt5.63%
Tax Rate0.00%
Tax Shield0.00%
Capital Structure
Equity: 30.22%($3615.53M)
Debt: 69.78%($8350.30M)
Equity Component
2.57%
30.22% × 8.51%
Debt Component
3.93%
69.78% × 5.63%

Liberty Global Ltd. Class A Common Shares (LBTYA) WACC in context

Liberty Global Ltd. Class A Common Shares (LBTYA) currently screens with an estimated WACC of 6.50%. That blends a 8.51% cost of equity, a 5.63% pre-tax cost of debt, and a 30.22% 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 LBTYA WACC implies

A 6.50% discount rate screens as a relatively low discount rate, which usually supports higher DCF values.

How this page calculates LBTYA

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 0.76 and equity accounts for 30.22% 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.