What is BLKB's WACC?

Blackbaud Inc (BLKB) WACC Analysis

As of April 4, 2026, Blackbaud Inc (BLKB) carries a Weighted Average Cost of Capital (WACC) of 7.8%. WACC reflects the blended rate Blackbaud Inc must pay to both equity and debt holders.

Within that, the cost of equity is 8.1%, the cost of debt is 5.2%, and the effective tax rate is 16.1%.

Breakdown of WACC Components

  • Long-term bond rate: 3.9% – 4.4%
  • Equity market risk premium: 4.6% – 5.6%
  • Adjusted beta: 0.92 – 1.08
  • Additional risk adjustment: 0.0% – 0.5%
  • Debt-to-equity ratio: 0.64

What It Means for Investors

With a selected WACC of 7.8%, Blackbaud Inc must ensure any new investment returns exceed this threshold to generate shareholder value. This level reflects an attractive low cost of capital.