Cost
of Capital by SectorData Used: Value Line database, of 5891 firms
Date of Analysis: Data used is as of January 2012
can be obtained by clicking here
on
which companies are included in each industry
| Industry Name | Number of Firms | Beta | Cost of Equity | E/(D+E) | Std Dev in Stock | Cost of Debt | Tax Rate | After-tax Cost of Debt | D/(D+E) | Cost of Capital |
| Advertising | 31 | 2.02 | 14.09% | 69.80% | 101.29% | 5.87% | 10.73% | 5.24% | 30.20% | 11.42% |
| Aerospace/Defense | 64 | 1.10 | 8.49% | 79.58% | 61.32% | 3.37% | 20.72% | 2.67% | 20.42% | 7.30% |
| Air Transport | 36 | 1.21 | 9.21% | 80.44% | 64.80% | 3.37% | 20.54% | 2.68% | 19.56% | 7.93% |
| Apparel | 57 | 1.30 | 9.71% | 84.47% | 88.82% | 4.37% | 16.08% | 3.67% | 15.53% | 8.77% |
| Auto Parts | 51 | 1.70 | 12.13% | 78.34% | 80.58% | 4.37% | 18.99% | 3.54% | 21.66% | 10.27% |
| Automotive | 12 | 1.59 | 11.47% | 42.63% | 68.91% | 3.87% | 24.07% | 2.94% | 57.37% | 6.57% |
| Bank | 426 | 0.77 | 6.52% | 39.05% | 61.15% | 3.37% | 15.97% | 2.83% | 60.95% | 4.27% |
| Bank (Midwest) | 45 | 0.93 | 7.50% | 62.69% | 55.60% | 3.37% | 17.77% | 2.77% | 37.31% | 5.74% |
| Beverage | 34 | 0.88 | 7.20% | 79.04% | 66.05% | 3.87% | 19.14% | 3.13% | 20.96% | 6.35% |
| Biotechnology | 158 | 1.03 | 8.09% | 88.12% | 113.11% | 5.87% | 2.49% | 5.72% | 11.88% | 7.81% |
| Building Materials | 45 | 1.50 | 10.96% | 51.46% | 78.83% | 3.87% | 11.17% | 3.44% | 48.54% | 7.31% |
| Cable TV | 21 | 1.37 | 10.15% | 59.50% | 50.77% | 3.37% | 27.35% | 2.45% | 40.50% | 7.03% |
| Chemical (Basic) | 16 | 1.36 | 10.08% | 78.53% | 49.27% | 2.87% | 20.90% | 2.27% | 21.47% | 8.41% |
| Chemical (Diversified) | 31 | 1.51 | 11.02% | 81.72% | 56.31% | 3.37% | 21.73% | 2.64% | 18.28% | 9.48% |
| Chemical (Specialty) | 70 | 1.28 | 9.57% | 82.54% | 71.60% | 3.87% | 17.58% | 3.19% | 17.46% | 8.46% |
| Coal | 20 | 1.53 | 11.08% | 77.58% | 55.52% | 3.37% | 12.75% | 2.94% | 22.42% | 9.26% |
| Computer Software | 184 | 1.04 | 8.17% | 93.03% | 82.03% | 4.37% | 12.27% | 3.83% | 6.97% | 7.87% |
| Computers/Peripherals | 87 | 1.30 | 9.71% | 90.72% | 97.69% | 4.87% | 11.77% | 4.30% | 9.28% | 9.21% |
| Diversified Co. | 107 | 1.14 | 8.76% | 49.45% | 75.00% | 3.87% | 15.55% | 3.27% | 50.55% | 5.98% |
| Drug | 279 | 1.12 | 8.63% | 86.61% | 103.44% | 5.87% | 5.36% | 5.56% | 13.39% | 8.22% |
| E-Commerce | 57 | 1.03 | 8.08% | 93.98% | 88.13% | 4.37% | 12.33% | 3.83% | 6.02% | 7.83% |
| Educational Services | 34 | 0.83 | 6.91% | 89.03% | 78.24% | 3.87% | 25.17% | 2.90% | 10.97% | 6.47% |
| Electric Util. (Central) | 21 | 0.75 | 6.41% | 53.72% | 23.37% | 2.37% | 31.82% | 1.62% | 46.28% | 4.19% |
| Electric Utility (East) | 21 | 0.70 | 6.08% | 60.18% | 18.30% | 2.37% | 33.14% | 1.58% | 39.82% | 4.29% |
| Electric Utility (West) | 14 | 0.75 | 6.40% | 54.19% | 19.85% | 2.37% | 31.30% | 1.63% | 45.81% | 4.21% |
| Electrical Equipment | 68 | 1.33 | 9.89% | 88.76% | 67.76% | 3.87% | 17.02% | 3.21% | 11.24% | 9.14% |
| Electronics | 139 | 1.07 | 8.31% | 81.75% | 89.93% | 4.37% | 10.36% | 3.92% | 18.25% | 7.51% |
| Engineering & Const | 25 | 1.22 | 9.26% | 89.29% | 65.03% | 3.87% | 26.26% | 2.85% | 10.71% | 8.57% |
| Entertainment | 77 | 1.63 | 11.72% | 70.93% | 108.37% | 5.87% | 15.38% | 4.97% | 29.07% | 9.76% |
| Entertainment Tech | 40 | 1.23 | 9.32% | 91.11% | 76.91% | 3.87% | 11.59% | 3.42% | 8.89% | 8.79% |
| Environmental | 82 | 0.81 | 6.73% | 69.59% | 92.14% | 4.87% | 11.71% | 4.30% | 30.41% | 5.99% |
| Financial Svcs. (Div.) | 225 | 1.31 | 9.76% | 28.45% | 82.27% | 4.37% | 19.18% | 3.53% | 71.55% | 5.30% |
| Food Processing | 112 | 0.91 | 7.39% | 77.20% | 60.68% | 3.37% | 20.00% | 2.70% | 22.80% | 6.32% |
| Foreign Electronics | 9 | 1.09 | 8.47% | 70.38% | 35.40% | 2.87% | 35.12% | 1.86% | 29.62% | 6.51% |
| Funeral Services | 6 | 1.14 | 8.73% | 63.86% | 39.35% | 2.87% | 30.84% | 1.98% | 36.14% | 6.29% |
| Furn/Home Furnishings | 35 | 1.81 | 12.81% | 80.39% | 80.90% | 4.37% | 20.43% | 3.48% | 19.61% | 10.98% |
| Healthcare Information | 25 | 1.17 | 8.95% | 94.03% | 65.79% | 3.87% | 22.19% | 3.01% | 5.97% | 8.60% |
| Heavy Truck & Equip | 21 | 1.80 | 12.76% | 69.61% | 69.92% | 3.87% | 20.62% | 3.07% | 30.39% | 9.82% |
| Homebuilding | 23 | 1.45 | 10.62% | 49.93% | 70.00% | 3.87% | 5.12% | 3.67% | 50.07% | 7.14% |
| Hotel/Gaming | 51 | 1.74 | 12.37% | 65.76% | 79.09% | 3.87% | 14.53% | 3.31% | 34.24% | 9.26% |
| Household Products | 26 | 1.07 | 8.32% | 84.04% | 62.24% | 3.37% | 25.12% | 2.52% | 15.96% | 7.40% |
| Human Resources | 23 | 1.24 | 9.34% | 90.65% | 78.27% | 3.87% | 25.35% | 2.89% | 9.35% | 8.73% |
| Industrial Services | 137 | 0.93 | 7.51% | 75.35% | 74.43% | 3.87% | 19.03% | 3.13% | 24.65% | 6.43% |
| Information Services | 27 | 1.07 | 8.35% | 76.80% | 48.10% | 2.87% | 18.93% | 2.33% | 23.20% | 6.95% |
| Insurance (Life) | 30 | 1.58 | 11.43% | 60.92% | 53.35% | 3.37% | 28.04% | 2.43% | 39.08% | 7.91% |
| Insurance (Prop/Cas.) | 49 | 0.91 | 7.37% | 80.90% | 37.88% | 2.87% | 19.36% | 2.31% | 19.10% | 6.40% |
| Internet | 186 | 1.09 | 8.45% | 97.37% | 117.09% | 5.87% | 6.87% | 5.47% | 2.63% | 8.37% |
| IT Services | 60 | 1.06 | 8.25% | 94.26% | 69.45% | 3.87% | 19.15% | 3.13% | 5.74% | 7.96% |
| Machinery | 100 | 1.20 | 9.12% | 83.95% | 57.21% | 3.37% | 22.15% | 2.62% | 16.05% | 8.07% |
| Maritime | 52 | 1.40 | 10.30% | 36.99% | 69.19% | 3.87% | 5.55% | 3.66% | 63.01% | 6.11% |
| Med Supp Invasive | 83 | 0.85 | 6.99% | 86.15% | 79.18% | 3.87% | 11.86% | 3.41% | 13.85% | 6.50% |
| Med Supp Non-Invasive | 146 | 1.03 | 8.09% | 88.48% | 84.89% | 4.37% | 12.73% | 3.81% | 11.52% | 7.60% |
| Medical Services | 122 | 0.91 | 7.39% | 66.91% | 76.26% | 3.87% | 19.93% | 3.10% | 33.09% | 5.97% |
| Metal Fabricating | 24 | 1.59 | 11.48% | 86.59% | 68.98% | 3.87% | 26.55% | 2.84% | 13.41% | 10.32% |
| Metals & Mining (Div.) | 73 | 1.33 | 9.89% | 87.64% | 104.38% | 5.87% | 11.04% | 5.22% | 12.36% | 9.31% |
| Natural Gas (Div.) | 29 | 1.33 | 9.87% | 72.96% | 48.77% | 2.87% | 21.98% | 2.24% | 27.04% | 7.81% |
| Natural Gas Utility | 22 | 0.66 | 5.85% | 59.74% | 24.90% | 2.37% | 30.16% | 1.66% | 40.26% | 4.16% |
| Newspaper | 13 | 1.76 | 12.53% | 68.33% | 90.74% | 4.87% | 25.13% | 3.65% | 31.67% | 9.72% |
| Office Equip/Supplies | 24 | 1.38 | 10.18% | 61.34% | 64.26% | 3.37% | 21.05% | 2.66% | 38.66% | 7.27% |
| Oil/Gas Distribution | 13 | 0.96 | 7.68% | 63.17% | 56.61% | 3.37% | 13.70% | 2.91% | 36.83% | 5.92% |
| Oilfield Svcs/Equip. | 93 | 1.55 | 11.24% | 81.36% | 62.37% | 3.37% | 17.39% | 2.78% | 18.64% | 9.66% |
| Packaging & Container | 26 | 1.16 | 8.86% | 65.87% | 41.59% | 2.87% | 24.23% | 2.17% | 34.13% | 6.58% |
| Paper/Forest Products | 32 | 1.36 | 10.08% | 62.55% | 93.84% | 4.87% | 10.61% | 4.35% | 37.45% | 7.94% |
| Petroleum (Integrated) | 20 | 1.18 | 9.01% | 83.90% | 38.99% | 2.87% | 27.41% | 2.08% | 16.10% | 7.89% |
| Petroleum (Producing) | 176 | 1.34 | 9.97% | 80.08% | 88.11% | 4.37% | 11.14% | 3.88% | 19.92% | 8.76% |
| Pharmacy Services | 19 | 1.12 | 8.63% | 83.00% | 59.43% | 3.37% | 24.67% | 2.54% | 17.00% | 7.60% |
| Pipeline MLPs | 27 | 0.98 | 7.81% | 70.94% | 34.90% | 2.87% | 6.37% | 2.69% | 29.06% | 6.32% |
| Power | 93 | 1.35 | 10.03% | 40.19% | 97.19% | 4.87% | 8.66% | 4.45% | 59.81% | 6.69% |
| Precious Metals | 84 | 1.15 | 8.79% | 92.43% | 90.87% | 4.87% | 7.51% | 4.50% | 7.57% | 8.47% |
| Precision Instrument | 77 | 1.28 | 9.57% | 86.25% | 65.33% | 3.87% | 13.94% | 3.33% | 13.75% | 8.71% |
| Property Management | 31 | 1.13 | 8.72% | 41.56% | 82.21% | 4.37% | 18.59% | 3.56% | 58.44% | 5.70% |
| Public/Private Equity | 11 | 2.18 | 15.01% | 62.55% | 77.54% | 3.87% | 3.79% | 3.72% | 37.45% | 10.78% |
| Publishing | 24 | 1.25 | 9.40% | 61.24% | 64.98% | 3.37% | 18.55% | 2.74% | 38.76% | 6.82% |
| R.E.I.T. | 5 | 1.47 | 10.73% | 74.23% | 49.61% | 2.87% | 1.04% | 2.84% | 25.77% | 8.70% |
| Railroad | 12 | 1.44 | 10.56% | 79.91% | 42.95% | 2.87% | 23.74% | 2.19% | 20.09% | 8.88% |
| Recreation | 56 | 1.45 | 10.62% | 67.25% | 70.55% | 3.87% | 17.37% | 3.20% | 32.75% | 8.19% |
| Reinsurance | 13 | 0.93 | 7.47% | 80.94% | 30.40% | 2.87% | 7.22% | 2.66% | 19.06% | 6.55% |
| Restaurant | 63 | 1.27 | 9.52% | 88.68% | 68.37% | 3.87% | 21.57% | 3.04% | 11.32% | 8.79% |
| Retail (Hardlines) | 75 | 1.77 | 12.57% | 80.43% | 92.79% | 4.87% | 23.04% | 3.75% | 19.57% | 10.84% |
| Retail (Softlines) | 47 | 1.44 | 10.55% | 94.68% | 60.91% | 3.37% | 24.64% | 2.54% | 5.32% | 10.13% |
| Retail Automotive | 20 | 1.37 | 10.13% | 72.41% | 52.02% | 3.37% | 34.43% | 2.21% | 27.59% | 7.95% |
| Retail Building Supply | 8 | 1.04 | 8.18% | 87.67% | 37.61% | 2.87% | 31.39% | 1.97% | 12.33% | 7.41% |
| Retail Store | 37 | 1.29 | 9.64% | 79.63% | 67.71% | 3.87% | 25.02% | 2.90% | 20.37% | 8.27% |
| Retail/Wholesale Food | 30 | 0.75 | 6.39% | 70.75% | 40.02% | 2.87% | 31.21% | 1.97% | 29.25% | 5.10% |
| Securities Brokerage | 28 | 1.20 | 9.11% | 18.85% | 44.31% | 2.87% | 26.22% | 2.12% | 81.15% | 3.43% |
| Semiconductor | 141 | 1.50 | 10.94% | 92.30% | 70.52% | 3.87% | 11.01% | 3.44% | 7.70% | 10.36% |
| Semiconductor Equip | 12 | 1.79 | 12.70% | 86.80% | 68.70% | 3.87% | 15.17% | 3.28% | 13.20% | 11.46% |
| Shoe | 19 | 1.25 | 9.43% | 97.87% | 55.52% | 3.37% | 24.31% | 2.55% | 2.13% | 9.28% |
| Steel | 32 | 1.68 | 12.03% | 68.31% | 56.94% | 3.37% | 21.03% | 2.66% | 31.69% | 9.06% |
| Telecom. Equipment | 99 | 1.02 | 8.00% | 88.52% | 87.77% | 4.37% | 13.16% | 3.79% | 11.48% | 7.52% |
| Telecom. Services | 74 | 0.98 | 7.78% | 74.58% | 68.58% | 3.87% | 14.22% | 3.32% | 25.42% | 6.65% |
| Telecom. Utility | 25 | 0.88 | 7.16% | 50.98% | 60.40% | 3.37% | 29.42% | 2.38% | 49.02% | 4.82% |
| Thrift | 148 | 0.71 | 6.17% | 77.32% | 53.93% | 3.37% | 12.43% | 2.95% | 22.68% | 5.44% |
| Tobacco | 11 | 0.85 | 7.03% | 84.24% | 41.53% | 2.87% | 31.03% | 1.98% | 15.76% | 6.23% |
| Toiletries/Cosmetics | 15 | 1.30 | 9.73% | 82.89% | 60.34% | 3.37% | 20.30% | 2.69% | 17.11% | 8.53% |
| Trucking | 36 | 1.24 | 9.38% | 78.27% | 59.88% | 3.37% | 25.48% | 2.51% | 21.73% | 7.89% |
| Utility (Foreign) | 4 | 0.96 | 7.68% | 39.21% | 32.68% | 2.87% | 26.07% | 2.12% | 60.79% | 4.30% |
| Water Utility | 11 | 0.66 | 5.85% | 55.12% | 18.89% | 2.37% | 35.22% | 1.54% | 44.88% | 3.91% |
| Wireless Networking | 57 | 1.27 | 9.54% | 78.70% | 75.03% | 3.87% | 12.12% | 3.40% | 21.30% | 8.23% |
| Total Market | 5891 | 1.15 | 8.81% | 68.19% | 75.08% | 3.87% | 15.48% | 3.27% | 31.81% | 7.05% |