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LSI Industries Inc (LYTS) — WACC Analysis

WACC Breakdown

LSI Industries Inc (LYTS) has a weighted average cost of capital (WACC) of 6.6%. The cost of equity is 8.4%, derived from a beta of 0.82 and a risk-free rate of 4.7%. The after-tax cost of debt is 1.6%. The capital structure is 73.9% equity and 26.1% debt.

Interpretation

A WACC of 6.6% suggests that the market views LSI Industries Inc as relatively low-risk, with a lower cost of financing.

Investors can compare LYTS's WACC of 6.6% against industry peers to gauge its relative financing costs. A beta of 0.82 reflects the stock's volatility relative to the broader market.

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VALUATION

LYTS WACC: 6.62% for LSI Industries Inc

Current inputs imply a 8.39% cost of equity and a 2.00% 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

LSI Industries Inc Common Stock (LYTS) WACC Results
Weighted Average Cost of Capital
6.62%
Cost of Equity
8.39%
Risk-Free Rate4.67%
Beta0.82
Market Risk Premium4.23%
Cost of Debt
1.58%
Pre-Tax Cost of Debt2.00%
Tax Rate21.00%
Tax Shield0.42%
Capital Structure
Equity: 73.94%($740.49M)
Debt: 26.06%($261.01M)
Equity Component
6.21%
73.94% × 8.39%
Debt Component
0.41%
26.06% × 1.58%

LSI Industries Inc (LYTS) WACC in context

LSI Industries Inc (LYTS) currently screens with an estimated WACC of 6.62%. That blends a 8.39% cost of equity, a 2.00% pre-tax cost of debt, and a 73.94% 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 LYTS WACC implies

A 6.62% discount rate screens as a relatively low discount rate, which usually supports higher DCF values.

How this page calculates LYTS

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 0.82 and equity accounts for 73.94% 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.

LYTS WACC: 6.62% — LSI Industries Inc Cost of Capital (August 2026) | DeepViews