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NXP Semiconductors N.V. (NXPI) — WACC Analysis

WACC Breakdown

NXP Semiconductors N.V. (NXPI) has a weighted average cost of capital (WACC) of 9.5%. The cost of equity is 10.8%, derived from a beta of 1.64 and a risk-free rate of 4.7%. The after-tax cost of debt is 3.2%. The capital structure is 82.9% equity and 17.1% debt.

Interpretation

A WACC of 9.5% is moderate, reflecting the market's balanced risk assessment of NXP Semiconductors N.V..

Investors can compare NXPI's WACC of 9.5% against industry peers to gauge its relative financing costs. A beta of 1.64 reflects the stock's volatility relative to the broader market.

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VALUATION

NXPI WACC: 9.47% for NXP Semiconductors N.V.

Current inputs imply a 10.76% cost of equity and a 4.04% 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

NXP Semiconductors N.V. Common Stock (NXPI) WACC Results
Weighted Average Cost of Capital
9.47%
Cost of Equity
10.76%
Risk-Free Rate4.73%
Beta1.64
Market Risk Premium4.23%
Cost of Debt
3.19%
Pre-Tax Cost of Debt4.04%
Tax Rate21.00%
Tax Shield0.85%
Capital Structure
Equity: 82.85%($56.65B)
Debt: 17.15%($11.72B)
Equity Component
8.92%
82.85% × 10.76%
Debt Component
0.55%
17.15% × 3.19%

NXP Semiconductors N.V. (NXPI) WACC in context

NXP Semiconductors N.V. (NXPI) currently screens with an estimated WACC of 9.47%. That blends a 10.76% cost of equity, a 4.04% pre-tax cost of debt, and a 82.85% 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 NXPI WACC implies

A 9.47% discount rate falls into a common range for established public companies and is a practical DCF starting point.

How this page calculates NXPI

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 1.64 and equity accounts for 82.85% 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.