Question 1

What is GENCO SHIPPING & TRADING LTD's WACC?

Accepted Answer

GENCO SHIPPING & TRADING LTD (GNK) has a Weighted Average Cost of Capital (WACC) of 7.97%. This is calculated using a Cost of Equity of 8.49% (via CAPM with a beta of 1.00) and a pre-tax Cost of Debt of 6.48%, with an equity weight of 84.51% in the capital structure.

Question 2

Is GENCO SHIPPING & TRADING LTD's WACC high or low?

Accepted Answer

GENCO SHIPPING & TRADING LTD's WACC of 7.97% 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 GENCO SHIPPING & TRADING LTD's WACC calculated?

Accepted Answer

GENCO SHIPPING & TRADING LTD's WACC is calculated using the formula: WACC = (E/V × Re) + (D/V × Rd × (1-T)). The Cost of Equity (Re) of 8.49% is derived from the CAPM model using a beta of 1.00. The pre-tax Cost of Debt (Rd) is 6.48%. The capital structure is 84.51% equity and 15.49% debt.

GENCO SHIPPING & TRADING LTD (GNK) — WACC 分析

WACC 构成

解读

GENCO SHIPPING & TRADING LTD（GNK）WACC：7.97%

WACC计算器

GENCO SHIPPING & TRADING LTD（GNK） WACC 解读

GNK 公司分析

GNK DCF 估值

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