is it better a low or high WACC for a company valuation? I'm doing a statistical report of some italian banks and I'm looking for correlation between Corporate governance practices and bank values. I'm focusing on WACC and I would like to understand if an high value of WACC it's better than a lower value or vice versa.
WACC is the weighted average cost of capital - the price of money for the firm. All else equal, lower is always better.