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NNN REIT, Inc. (NNN) — WACC Analysis

WACC Breakdown

NNN REIT, Inc. (NNN) has a weighted average cost of capital (WACC) of 6.2%. The cost of equity is 7.6%, derived from a beta of 0.43 and a risk-free rate of 5.0%. The after-tax cost of debt is 3.7%. The capital structure is 63.9% equity and 36.1% debt.

Interpretation

A WACC of 6.2% suggests that the market views NNN REIT, Inc. as relatively low-risk, with a lower cost of financing.

Investors can compare NNN's WACC of 6.2% against industry peers to gauge its relative financing costs. A beta of 0.43 reflects the stock's volatility relative to the broader market.

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VALUATION

NNN WACC: 6.21% for NNN REIT, Inc.

Current inputs imply a 7.60% cost of equity and a 4.73% pre-tax cost of debt. Use this discount rate as a starting point for DCF validation.

[01]Current Market Data
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[02]
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

NNN REIT, Inc. Common Stock (NNN) WACC Results
Weighted Average Cost of Capital
6.21%
Cost of Equity
7.60%
Risk-Free Rate4.98%
Beta0.43
Market Risk Premium4.23%
Cost of Debt
3.74%
Pre-Tax Cost of Debt4.73%
Tax Rate21.00%
Tax Shield0.99%
Capital Structure
Equity: 63.89%($7968.99M)
Debt: 36.11%($4504.44M)
Equity Component
4.86%
63.89% × 7.60%
Debt Component
1.35%
36.11% × 3.74%

NNN REIT, Inc. (NNN) WACC in context

NNN REIT, Inc. (NNN) currently screens with an estimated WACC of 6.21%. That blends a 7.60% cost of equity, a 4.73% pre-tax cost of debt, and a 63.89% 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 NNN WACC implies

A 6.21% discount rate screens as a relatively low discount rate, which usually supports higher DCF values.

How this page calculates NNN

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 0.43 and equity accounts for 63.89% 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.