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WACC

The Weighted Average Cost of Capital 
22 Jun 2026

The Weighted Average Cost of Capital 

by Simon Taylor | posted in: Finance sector, Key finance concepts | 0

* The weighted average cost of capital, or WACC, is used in valuing companies.   A standard approach to valuing companies, often called the discounted cashflow or DCF method, is first, to estimate the cashflows that the company will generate in future, … Continued

valuation, WACC

About

Simon is Management Practice Professor of Finance at Cambridge Judge Business School. From 2008-2018 he was the first Director of the University of Cambridge Master of Finance (MFin) degree, and was later the first Director of the University's Global Executive MBA. An economist and former equities analyst at JPMorgan and Citigroup, he teaches on financial markets and institutions, infrastructure finance and the world financial system. He is a Fellow in Management at St Catharine's College, Cambridge, where he is a member of the investment committee, and a research associate of the Cambridge Energy Policy Research Group, where he specialises in nuclear finance.

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