For Walt Disney CompanyFind an estimate of beta for your company. You might consider examining/using an industry average beta, especially if the reported beta you find seems unrealistic or...

Capital Asset Pricing Model
Capital Asset Pricing Model estimates the cost of equity on the basis of risk free rate and
expected return. It calculates the expected return on an investment which helps in the comparison
of expected return with the required rate of return so as determine whether the asset is
underpriced, overpriced or properly priced. The basic idea behind the capital asset pricing model
is that investors should get a reward for both waiting and worrying. The greater the worry, the
greater the expected return. If investment is made in a risk-free Treasury bill, then only the risk
free rate of interest will be received. When you invest in risky stocks, you can expect an extra
return over the risk free rate or risk premium for worrying, which is called as reward for
worrying.
Ke = Rf + Beta * (Rm – Rf)
Where,
Ke = Cost of Equity
Rf = Risk free...