Equilest

AUGUST 15, 2022

What is systematic risk? And why it's essential to business valuation. Learn how you can use the systematic risk for a successful EXIT! Many entrepreneurs and business owners think that risk means loss. But in fact, risk means volatility. What is the effect of systematic risk on value?

Systematic Risk 40

Systematic Risk Business Valuation Beta Finance 40

Equilest

AUGUST 15, 2022

What is systematic risk? And why it's essential to business valuation. Learn how you can use the systematic risk for a successful EXIT! Many entrepreneurs and business owners think that risk means loss. But in fact, risk means volatility. What is the effect of systematic risk on value?

Systematic Risk 40

Systematic Risk Business Valuation Beta Finance 40

Andrew Stolz

AUGUST 5, 2020

Beta is a multiple used to adjust up (Beta > 1) the equity risk premium if a stock is expected to be riskier than the market, and down (Beta < 1) if the stock is lower risk than the market. Investments are exposed to two types of risk: systematic and unsystematic. What Impacts the Capital Asset Pricing Model?

Risk-free Rate 52

Risk-free Rate Beta Weighted Average Cost of Capital Risk Premium 52

Andrew Stolz

AUGUST 5, 2020

Risk-free rate . The systematic risk of the security (Beta). The cost of equity is considered an opportunity cost of capital when investing in a company. . What Impacts the Cost of Equity? The expected return of the market . Dividend per share . The market value of the stock . The growth rate of dividends .

Equity 52

Equity Risk-free Rate Dividends Beta 52

Equilest

JANUARY 1, 2023

The Unlevered-Beta (Known also as Unleveraged-Beta) is related to systematic risk. . You can read more about systematic risk here. . . When considering only the industry - the sensitivity is examined using what is known as Unlevered Beta. . The Financial Leverage of The Firm.

Beta 40

Beta Unlevered Beta Systematic Risk Equity 40

Valutico

APRIL 17, 2023

WACCs in certain industries may be higher or lower in general, depending on the risk associated with that industry. A Short Summary The Weighted Average Cost of Capital (WACC) is an important tool for business valuation. Riskier industries, may have a higher Cost of Capital. What is the WACC? A beta of 1.0

Weighted Average Cost of Capital 52

Weighted Average Cost of Capital Discounted Cash Flow Beta Risk-free Rate 52

Valutico

APRIL 17, 2023

WACCs in certain industries may be higher or lower in general, depending on the risk associated with that industry. A Short Summary The Weighted Average Cost of Capital (WACC) is an important tool for business valuation. Riskier industries, may have a higher Cost of Capital. What is the WACC? A beta of 1.0

Weighted Average Cost of Capital 52

Weighted Average Cost of Capital Discounted Cash Flow Beta Risk-free Rate 52