ConceptCost of Capital / WACC
Cost of Capital
The cost a company incurs to raise funds, typically measured as the weighted average cost of capital, comprising interest on debt and the required return on equity; it is a key discounting parameter in asset valuation.
Timeline (last 90 days)
Oct 19
Cost of capital is the price a company pays to raise funds, usually measured by the weighted average cost of capital (WACC), and AI infrastructure, as a long-duration asset, has valuations that are extremely sensitive to interest rate changes.
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