Question 1

What is Lumentum Holdings Inc. Common Stock's WACC?

Accepted Answer

Lumentum Holdings Inc. Common Stock (LITE) has a Weighted Average Cost of Capital (WACC) of 8.08%. This is calculated using a Cost of Equity of 8.46% (via CAPM with a beta of 1.00) and a pre-tax Cost of Debt of 2.00%, with an equity weight of 94.55% in the capital structure.

Question 2

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

Accepted Answer

Lumentum Holdings Inc. Common Stock's WACC of 8.08% falls within the typical 8-12% range for mid-cap growth companies. 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 Lumentum Holdings Inc. Common Stock's WACC calculated?

Accepted Answer

Lumentum 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 8.46% is derived from the CAPM model using a beta of 1.00. The pre-tax Cost of Debt (Rd) is 2.00%. The capital structure is 94.55% equity and 5.45% debt.

Lumentum Holdings Inc. Common Stock (LITE) — WACC 分析

WACC 构成

解读

Lumentum Holdings Inc. Common Stock（LITE）WACC：8.08%

WACC计算器

Lumentum Holdings Inc. Common Stock（LITE） WACC 解读

LITE 公司分析

LITE DCF 估值

继续做同行对比