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Nomura Holdings, Inc (NMR) — WACC Analysis

WACC Breakdown

Nomura Holdings, Inc (NMR) has a weighted average cost of capital (WACC) of 11.7%. The cost of equity is 8.8%, derived from a beta of 0.86 and a risk-free rate of 5.0%. The after-tax cost of debt is 12.5%. The capital structure is 22.4% equity and 77.6% debt.

Interpretation

A WACC of 11.7% is moderate, reflecting the market's balanced risk assessment of Nomura Holdings, Inc.

Investors can compare NMR's WACC of 11.7% against industry peers to gauge its relative financing costs. A beta of 0.86 reflects the stock's volatility relative to the broader market.

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VALUATION

NMR WACC: 11.68% for Nomura Holdings, Inc

Current inputs imply a 8.80% cost of equity and a 15.84% 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

Nomura Holdings, Inc Common Stock (NMR) WACC Results
Weighted Average Cost of Capital
11.68%
Cost of Equity
8.80%
Risk-Free Rate4.96%
Beta0.86
Market Risk Premium4.23%
Cost of Debt
12.51%
Pre-Tax Cost of Debt15.84%
Tax Rate21.00%
Tax Shield3.33%
Capital Structure
Equity: 22.43%($31.36B)
Debt: 77.57%($108.45B)
Equity Component
1.97%
22.43% × 8.80%
Debt Component
9.70%
77.57% × 12.51%

Nomura Holdings, Inc (NMR) WACC in context

Nomura Holdings, Inc (NMR) currently screens with an estimated WACC of 11.68%. That blends a 8.80% cost of equity, a 15.84% pre-tax cost of debt, and a 22.43% 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 NMR WACC implies

A 11.68% discount rate falls into a common range for established public companies and is a practical DCF starting point.

How this page calculates NMR

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 0.86 and equity accounts for 22.43% 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.