WACC

Weighted average cost of capital: the blend of equity and after-tax debt costs a project must beat. Earning exactly the WACC creates no value — it pays the financiers and nothing more.

Where WACC is explained in depth

The definition above is the short version. These pages put it to work, in the order they use it most:

The whole glossary

Information and education only. Every page, figure and calculator on this site exists to explain how financial instruments work. Nothing here is investment, tax or legal advice, a recommendation, or a valuation you can rely on. Full disclaimer