Question 1

What is Expand Energy Corporation Common Stock's WACC?

Accepted Answer

Expand Energy Corporation Common Stock (EXE) has a Weighted Average Cost of Capital (WACC) of 6.50%. This is calculated using a Cost of Equity of 7.13% (via CAPM with a beta of 0.45) and a pre-tax Cost of Debt of 4.69%, with an equity weight of 81.62% in the capital structure.

Question 2

Is Expand Energy Corporation Common Stock's WACC high or low?

Accepted Answer

Expand Energy Corporation Common Stock's WACC of 6.50% 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 Expand Energy Corporation Common Stock's WACC calculated?

Accepted Answer

Expand Energy Corporation Common Stock's WACC is calculated using the formula: WACC = (E/V × Re) + (D/V × Rd × (1-T)). The Cost of Equity (Re) of 7.13% is derived from the CAPM model using a beta of 0.45. The pre-tax Cost of Debt (Rd) is 4.69%. The capital structure is 81.62% equity and 18.38% debt.

Expand Energy Corporation Common Stock (EXE) — WACC 分析

WACC 构成

解读

Expand Energy Corporation Common Stock（EXE）WACC：6.50%

WACC计算器

Expand Energy Corporation Common Stock（EXE） WACC 解读

EXE 公司分析

EXE DCF 估值

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