TriMas Corp (TRS) WACC Analysis

As of May 22, 2025, TriMas Corp (TRS) carries a Weighted Average Cost of Capital (WACC) of 9.3%. WACC reflects the blended rate TriMas Corp must pay to both equity and debt holders.

Within that, the cost of equity is 9.9%, the cost of debt is 4.0%, and the effective tax rate is 19.8%.

Breakdown of WACC Components

• Long-term bond rate: 3.9% – 4.4%
• Equity market risk premium: 4.6% – 5.6%
• Adjusted beta: 1.31 – 1.42
• Additional risk adjustment: 0.0% – 0.5%
• Debt-to-equity ratio: 0.39

What It Means for Investors

With a selected WACC of 9.3%, TriMas Corp must ensure any new investment returns exceed this threshold to generate shareholder value. This level reflects a moderate financing cost structure.