Value in 60 Seconds: What's happening with WACC - How interest rates affect the cost of capital

Real fast, a question around how are we taking into account the fact that the cost of capital is going up? You see right here, we're tracking the WACC, weighted average cost of capital, and it absolutely affects our ratings, our valuations, our economic book value, everything. You're going to see that in our measure of the economic earnings versus Accounting earnings. It's going to affect price-to-economic book value, and it's for sure going to affect the market implied growth appreciation period. We could do a whole webinar on all the work we do. There's so much bad data out there that just doesn't make sense. You've got to have enough experience and sometimes just common sense around what beta does and doesn't make sense. Because I've been doing this for so long and done it for over the years, tens of thousands of companies, you just learn what's going to be helpful, what's going to further your analytical process and what isn't.