This could be due to high-risk operations or reliance on expensive equity funding. A low WACC indicates cheaper financing, often signaling financial stability and investor confidence. It can ...

Esty, Benjamin C., and E. Scott Mayfield. "The Weighted Average Cost of Capital (WACC): Derivation, Intuition, and Applications." Harvard Business School Technical Note 221-106, June 2021.

Learn what Weighted Average Cost of Capital (WACC) is, how to calculate it, and its significance in evaluating investment opportunities.