Question 1

What is The Chef's Warehouse Inc's WACC?

Accepted Answer

The Chef's Warehouse Inc (CHEF) has a Weighted Average Cost of Capital (WACC) of 7.78%. This is calculated using a Cost of Equity of 8.42% (via CAPM with a beta of 0.99) and a pre-tax Cost of Debt of 6.89%, with an equity weight of 78.67% in the capital structure.

Question 2

Is The Chef's Warehouse Inc's WACC high or low?

Accepted Answer

The Chef's Warehouse Inc's WACC of 7.78% 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 The Chef's Warehouse Inc's WACC calculated?

Accepted Answer

The Chef's Warehouse Inc's WACC is calculated using the formula: WACC = (E/V × Re) + (D/V × Rd × (1-T)). The Cost of Equity (Re) of 8.42% is derived from the CAPM model using a beta of 0.99. The pre-tax Cost of Debt (Rd) is 6.89%. The capital structure is 78.67% equity and 21.33% debt.

The Chef's Warehouse Inc (CHEF) — WACC 分析

WACC 构成

解读

The Chef's Warehouse Inc（CHEF）WACC：7.78%

WACC计算器

The Chef's Warehouse Inc（CHEF） WACC 解读

CHEF 公司分析

CHEF DCF 估值

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