Fjord1 ASA (FJORD.OL) WACC Analysis

As of October 15, 2025, Fjord1 ASA (FJORD.OL) carries a Weighted Average Cost of Capital (WACC) of 6.4%. WACC reflects the blended rate Fjord1 ASA must pay to both equity and debt holders.

Within that, the cost of equity is 6.7%, the cost of debt is 4.3%, and the effective tax rate is 18.9%.

Breakdown of WACC Components

• Long-term bond rate: 3.1% – 3.6%
• Equity market risk premium: 4.7% – 5.7%
• Adjusted beta: 0.78 – 1.07
• Additional risk adjustment: 0.0% – 0.5%
• Debt-to-equity ratio: 1.16

What It Means for Investors

With a selected WACC of 6.4%, Fjord1 ASA must ensure any new investment returns exceed this threshold to generate shareholder value. This level reflects an attractive low cost of capital.