Sculptor Capital Management Inc (SCU) WACC Analysis

As of June 6, 2025, Sculptor Capital Management Inc (SCU) carries a Weighted Average Cost of Capital (WACC) of 5.3%. WACC reflects the blended rate Sculptor Capital Management Inc must pay to both equity and debt holders.

Within that, the cost of equity is 7.3%, the cost of debt is 4.0%, and the effective tax rate is 33.7%.

Breakdown of WACC Components

• Long-term bond rate: 3.9% – 4.4%
• Equity market risk premium: 4.6% – 5.6%
• Adjusted beta: 0.74 – 0.9
• Additional risk adjustment: 0.0% – 0.5%
• Debt-to-equity ratio: 1.53

What It Means for Investors

With a selected WACC of 5.3%, Sculptor Capital Management Inc must ensure any new investment returns exceed this threshold to generate shareholder value. This level reflects an attractive low cost of capital.