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1492 terms

Glossary

Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.

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WACC

Fundamental analysis
Also called: Weighted average cost of capital

Weighted average cost of capital — the blend of the cost of debt and the cost of equity, weighted by how much of each the company uses.

In plain terms

The formal discount rate for a DCF, which most investors reasonably simplify into a required return by business type. Running the model at three plausible rates says more than deriving one precisely.

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Indian stock market glossary · Market Vidyalaya