Question 1

What is Information Services Group, Inc.'s WACC?

Accepted Answer

Information Services Group, Inc. (III) has a Weighted Average Cost of Capital (WACC) of 7.80%. This is calculated using a Cost of Equity of 8.60% (via CAPM with a beta of 0.91) and a pre-tax Cost of Debt of 6.57%, with an equity weight of 76.69% in the capital structure.

Question 2

Is Information Services Group, Inc.'s WACC high or low?

Accepted Answer

Information Services Group, Inc.'s WACC of 7.80% 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 Information Services Group, Inc.'s WACC calculated?

Accepted Answer

Information Services Group, Inc.'s WACC is calculated using the formula: WACC = (E/V × Re) + (D/V × Rd × (1-T)). The Cost of Equity (Re) of 8.60% is derived from the CAPM model using a beta of 0.91. The pre-tax Cost of Debt (Rd) is 6.57%. The capital structure is 76.69% equity and 23.31% debt.

Information Services Group, Inc. (III) — WACC 分析

WACC 构成

解读

Information Services Group, Inc.（III）WACC：7.80%

WACC计算器

Information Services Group, Inc.（III） WACC 解读

III 公司分析

III DCF 估值

继续做同行对比