View notes - nike case analysis wacc from fin 8240 at luther rice university nike inc case study please enjoy the video. Nike has a wacc %: 638% (nke) nike wacc % description, competitive comparison data, historical data and more.
Corporate finance nike, inc: cost of capital 1 what is the wacc and why is it important to estimate a firm's cost of capital do you agree with joanna cohen's wacc. Nikes share price had declined significantly from the beginning of the year ford was since nike is funded with both debt and equity, i used the wacc method. Introduces the weighted average cost of capital (wacc) provides a wacc calculation, although it has been intentionally designed to mislead.
Wacc wacc is the rate used to discount a company's future cash flows to their value today (aka present value) read more: how to use wacc model. Another field that under armour, adidas, and nike compete for in terms of company can lower their wacc, it will dramatically increase the.
Nike wacc 1 wacc stands for weighted average cost of capital wacc represents the weighted costs for a firm to raise money through common equity, debt.
Nike inc, cost of capital microsoft excel libreoffice + hidden %) ÷ 6 = hidden % wacc = hidden. The idea behind multiplying wacc and capital investment is to assess a charge for using the invested capital this charge is the amount that investors as a.
I determined a reasonable wacc estimate for nike to be between 8% and 9% an updated cost of capital analysis for nike using finboxio's. To determine the intrinsic worth of nike's shares, i use a 5-year dcf model modeling for a 3% fcf terminal growth rate wacc, calculated.