Grafenia PLC (GRA.L) WACC Analysis

As of May 27, 2025, Grafenia PLC (GRA.L) carries a Weighted Average Cost of Capital (WACC) of 6.5%. WACC reflects the blended rate Grafenia PLC must pay to both equity and debt holders.

Within that, the cost of equity is 6.3%, the cost of debt is 4.2%, and the effective tax rate is 16.5%.

Breakdown of WACC Components

• Long-term bond rate: 4.4% – 4.9%
• Equity market risk premium: 6.4% – 7.4%
• Adjusted beta: 0.29 – 0.39
• Additional risk adjustment: 0.0% – 0.5%
• Debt-to-equity ratio: 0.34

What It Means for Investors

With a selected WACC of 6.5%, Grafenia PLC must ensure any new investment returns exceed this threshold to generate shareholder value. This level reflects an attractive low cost of capital.