Question 1

What is Builders FirstSource, Inc.'s WACC?

Accepted Answer

Builders FirstSource, Inc. (BLDR) has a Weighted Average Cost of Capital (WACC) of 6.17%. This is calculated using a Cost of Equity of 8.71% (via CAPM with a beta of 1.00) and a pre-tax Cost of Debt of 2.00%, with an equity weight of 64.35% in the capital structure.

Question 2

Is Builders FirstSource, Inc.'s WACC high or low?

Accepted Answer

Builders FirstSource, Inc.'s WACC of 6.17% 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 Builders FirstSource, Inc.'s WACC calculated?

Accepted Answer

Builders FirstSource, Inc.'s WACC is calculated using the formula: WACC = (E/V × Re) + (D/V × Rd × (1-T)). The Cost of Equity (Re) of 8.71% is derived from the CAPM model using a beta of 1.00. The pre-tax Cost of Debt (Rd) is 2.00%. The capital structure is 64.35% equity and 35.65% debt.

Builders FirstSource, Inc. (BLDR) — WACC 分析

WACC 构成

解读

Builders FirstSource, Inc.（BLDR）WACC：6.17%

WACC计算器

Builders FirstSource, Inc.（BLDR） WACC 解读

BLDR 公司分析

BLDR DCF 估值

继续做同行对比