What is CVSI's WACC?

CV Sciences Inc (CVSI) WACC Analysis

As of June 21, 2025, CV Sciences Inc (CVSI) carries a Weighted Average Cost of Capital (WACC) of 6.3%. WACC reflects the blended rate CV Sciences Inc must pay to both equity and debt holders.

Within that, the cost of equity is 5.4%, the cost of debt is 7.0%, and the effective tax rate is 0.5%.

Breakdown of WACC Components

  • Long-term bond rate: 3.9% – 4.4%
  • Equity market risk premium: 4.6% – 5.6%
  • Adjusted beta: 0.33 – 0.42
  • Additional risk adjustment: 0.0% – 0.5%
  • Debt-to-equity ratio: 0.05

What It Means for Investors

With a selected WACC of 6.3%, CV Sciences Inc must ensure any new investment returns exceed this threshold to generate shareholder value. This level reflects an attractive low cost of capital.