The potential risks of investing in a company with a high unlevered beta include increased volatility and risk. This means that the company's returns can fluctuate significantly, which could lead to potential losses. On the other hand, the potential benefits include the possibility of high returns. Since high risk is associated with high return, a company with a high unlevered beta could potentially bring significant profits to investors.
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If you also want to compare your investment's performance against other opportunities, the WACC tab is the way to go. The Weighted Average Cost of Capital (WACC) tab represents the average rate a company should pay to finance its assets. At the center of WACC is the "unlevered beta". A higher unlevered beta means that a company is more volatile and riskier than the market average, while a lower unlevered beta means that a company is less risky.