1
Peer Analysis & Unlevered Beta
Find comparable listed companies → compute average β_U via Hamada equation
▸ Pipeline Log
| Company | Ticker | D/E | β_L | β_U |
|---|---|---|---|---|
| Average Unlevered Beta (β_U avg) | ||||
β_U = β_L / [1 + (1 − 0.22) × D/E]
2
Target Company — Balance Sheet D/E
Upload the target firm's balance sheet to extract its Debt/Equity ratio
Company
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Period
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Total Debt
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Total Equity
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Extracted D/E Ratio:
3
Relevered Beta
Apply target firm's capital structure to the unlevered peer beta
Complete Steps 1 and 2 to see the Relevered Beta
Hamada Equation — Relevering
β_Relevered = β_U × [ 1 + (1 − t) × D/E ]
Relevered Beta (β_L)
Avg β_U (peers)
Target D/E
Tax Rate (t)
22%