Linedata Services SA (LIN.PA) WACC Analysis

As of May 27, 2025, Linedata Services SA (LIN.PA) carries a Weighted Average Cost of Capital (WACC) of 8.0%. WACC reflects the blended rate Linedata Services SA must pay to both equity and debt holders.

Within that, the cost of equity is 8.2%, the cost of debt is 4.0%, and the effective tax rate is 25.7%.

Breakdown of WACC Components

• Long-term bond rate: 3.0% – 3.5%
• Equity market risk premium: 5.8% – 6.8%
• Adjusted beta: 0.89 – 0.99
• Additional risk adjustment: 0.0% – 0.5%
• Debt-to-equity ratio: 0.29

What It Means for Investors

With a selected WACC of 8.0%, Linedata Services SA must ensure any new investment returns exceed this threshold to generate shareholder value. This level reflects a moderate financing cost structure.