Question 1

What is Axis Capital Holders Limited's WACC?

Accepted Answer

Axis Capital Holders Limited (AXS) has a Weighted Average Cost of Capital (WACC) of 7.10%. This is calculated using a Cost of Equity of 7.58% (via CAPM with a beta of 0.55) and a pre-tax Cost of Debt of 5.05%, with an equity weight of 86.50% in the capital structure.

Question 2

Is Axis Capital Holders Limited's WACC high or low?

Accepted Answer

Axis Capital Holders Limited's WACC of 7.10% is below the typical range of 8-12% for most companies, indicating relatively low cost of capital and lower risk. WACC is used as the discount rate in DCF valuations — a lower WACC results in higher present values of future cash flows.

Question 3

How is Axis Capital Holders Limited's WACC calculated?

Accepted Answer

Axis Capital Holders Limited's WACC is calculated using the formula: WACC = (E/V × Re) + (D/V × Rd × (1-T)). The Cost of Equity (Re) of 7.58% is derived from the CAPM model using a beta of 0.55. The pre-tax Cost of Debt (Rd) is 5.05%. The capital structure is 86.50% equity and 13.50% debt.

Axis Capital Holders Limited (AXS) — WACC 分析

WACC 构成

解读

Axis Capital Holders Limited（AXS）WACC：7.10%

WACC计算器

Axis Capital Holders Limited（AXS） WACC 解读

AXS 公司分析

AXS DCF 估值

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