Question 1

What is iRhythm Holdings, Inc. Common Stock's WACC?

Accepted Answer

iRhythm Holdings, Inc. Common Stock (IRTC) has a Weighted Average Cost of Capital (WACC) of 7.75%. This is calculated using a Cost of Equity of 8.63% (via CAPM with a beta of 1.00) and a pre-tax Cost of Debt of 2.03%, with an equity weight of 86.73% in the capital structure.

Question 2

Is iRhythm Holdings, Inc. Common Stock's WACC high or low?

Accepted Answer

iRhythm Holdings, Inc. Common Stock's WACC of 7.75% 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 iRhythm Holdings, Inc. Common Stock's WACC calculated?

Accepted Answer

iRhythm Holdings, Inc. Common Stock's WACC is calculated using the formula: WACC = (E/V × Re) + (D/V × Rd × (1-T)). The Cost of Equity (Re) of 8.63% is derived from the CAPM model using a beta of 1.00. The pre-tax Cost of Debt (Rd) is 2.03%. The capital structure is 86.73% equity and 13.27% debt.

iRhythm Holdings, Inc. Common Stock (IRTC) — WACC 分析

WACC 构成

解读

iRhythm Holdings, Inc. Common Stock（IRTC）WACC：7.75%

WACC计算器

iRhythm Holdings, Inc. Common Stock（IRTC） WACC 解读

IRTC 公司分析

IRTC DCF 估值

继续做同行对比