As of today (2026-07-04), International Holdings Co PJSC's weighted average cost of capital is 9.94%%. International Holdings Co PJSC's ROIC % is 6.16% (calculated using TTM income statement data).
International Holdings Co PJSC earns returns that do not match up to its cost of capital. It will destroy value as it grows.
*Note: The beta of this company cannot be obtained because it has a price history shorter than 3 years. It will thus be set to 1 as default to calculate WACC.
For a comprehensive WACC calculation, please access the WACC Calculator.
International Holdings Co PJSC (ADX:IHC) WACC % Explanation
Because it costs money to raise capital. A firm that generates higher ROIC % than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.
As of today, International Holdings Co PJSC's weighted average cost of capital is 9.94%%. International Holdings Co PJSC's ROIC % is 6.16% (calculated using TTM income statement data).
International Holdings Co PJSC earns returns that do not match up to its cost of capital. It will destroy value as it grows.
*Note: The beta of this company cannot be obtained because it has a price history shorter than 3 years. It will thus be set to 1 as default to calculate WACC.
Be Aware
1. GuruFocus uses book value of debt (D) to do the calculation. It is simplified by adding latest one-year quarterly average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together.
For companies that report quarterly, GuruFocus combines all of the most recent year's quarterly debt data from the beginning of the year to the year-end and calculates the average.
For companies that report semi-annually, GuruFocus combines all of the most recent year's semi-annual debt data from the start of the year to the year-end and calculates the average.
For companies that report annually, GuruFocus combines the beginning and ending annual debt data from the most recent year and then calculates the average.
2. The WACC formula discussed above does not include Preferred Stock. Please adjust if preferred stock is considered.
3. (Expected Return of the Market - Risk-Free Rate of Return) is also called market premium. GuruFocus requires market premium to be 6%.
4. GuruFocus uses the latest TTM Interest Expense divided by the latest one-year quarterly average debt to get the simplified cost of debt.
Related Terms
International Holdings Co PJSC WACC % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Conglomerates subindustry, International Holdings Co PJSC's WACC %, along with its competitors' market caps and WACC % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
International Holdings Co PJSC WACC % vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, International Holdings Co PJSC's WACC % distribution charts can be found below:
* The bar in red indicates where International Holdings Co PJSC's WACC % falls into.
The weighted average cost of capital (WACC) is the rate that a company is expected to pay on average to all its security holders to finance its assets. The WACC is commonly referred to as the firm's cost of capital. Generally speaking, a company's assets are financed by debt and equity. WACC is the average of the costs of these sources of financing, each of which is weighted by its respective use in the given situation. By taking a weighted average, we can see how much interest the company has to pay for every dollar it finances.
WACC
=
E
/
(E + D)
*
Cost of Equity
+
D
/
(E + D)
*
Cost of Debt
*
(1 - Tax Rate)
1. Weights:
Generally speaking, a company's assets are financed by debt and equity. We need to calculate the weight of equity and the weight of debt.
The market value of equity (E) is also called "Market Cap". As of today, International Holdings Co PJSC's market capitalization (E) is د.إ833845.930 Mil.
The market value of debt is typically difficult to calculate, therefore, GuruFocus uses book value of debt (D) to do the calculation. It is simplified by adding the latest one-year quarterly average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together. As of Mar. 2026, International Holdings Co PJSC's latest one-year quarterly average Book Value of Debt (D) is د.إ92780.0142 Mil.
a) weight of equity = E / (E + D) = 833845.930 / (833845.930 + 92780.0142) = 0.8999
b) weight of debt = D / (E + D) = 92780.0142 / (833845.930 + 92780.0142) = 0.1001
2. Cost of Equity:
GuruFocus uses Capital Asset Pricing Model (CAPM) to calculate the required rate of return. The formula is:
Cost of Equity = Risk-Free Rate of Return + Beta of Asset * (Expected Return of the Market - Risk-Free Rate of Return)
a) GuruFocus uses 10-Year Treasury Constant Maturity Rate as the risk-free rate. It is updated daily. The current risk-free rate is 4.485%. Please go to Economic Indicators page for more information. Please note that we use the 10-Year Treasury Constant Maturity Rate of the country/region where the company is headquartered. If the data for that country/region is not available, then we will use the 10-Year Treasury Constant Maturity Rate of the United States as default.
b) Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. International Holdings Co PJSC's beta cannot be obtained because it has a price history shorter than 3 years. It will thus be set to 1 as default to calculate WACC.
c) (Expected Return of the Market - Risk-Free Rate of Return) is also called market premium. GuruFocus requires market premium to be 6%.
Cost of Equity = 4.485% + 1 * 6% = 10.485%
3. Cost of Debt:
GuruFocus uses latest TTM Interest Expense divided by the latest one-year quarterly average debt to get the simplified cost of debt.
As of Mar. 2026, International Holdings Co PJSC's interest expense (positive number) was د.إ4923.218 Mil. Its total Book Value of Debt (D) is د.إ92780.0142 Mil.
Cost of Debt = 4923.218 / 92780.0142 = 5.3063%.
4. Multiply by one minus TTM Tax Rate:
GuruFocus uses the most recent TTM Tax Expense divided by the most recent TTM Pre-Tax Income to calculate the tax rate. The calculated TTM tax rate is limited to between 0% and 100%. If the calculated tax rate is higher than 100%, it is set to 100%. If the calculated tax rate is less than 0%, it is set to 0%.
The latest calculated TTM Tax Rate = 2078.08 / 38548.77 = 5.39%.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
International Holdings Co PJSC (ADX:IHC) has a WACC % of 9.94% as of Jul. 04, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on International Holdings Co PJSC and its competitors. This is 18% above median its historical median of 8.41. Over the past decade, International Holdings Co PJSC's WACC % has ranged from 6.90 to 10.16. According to the industry distribution chart, International Holdings Co PJSC ranks #429 out of 574 companies in the Conglomerates industry, placing it in the top 74.7%.
Is International Holdings Co PJSC's WACC % too high?
International Holdings Co PJSC's current WACC % of 9.94% is 18% above median its 10-year median of 8.41. Over the past 10 years, this metric has ranged from a low of 6.90 to a high of 10.16. The Conglomerates industry median WACC % is 6.67. International Holdings Co PJSC's value of 9.94% is 49.1% above this industry median. Based on the distribution chart, International Holdings Co PJSC ranks #429 out of 574 companies in the Conglomerates industry, which is below the industry midpoint. Overall, International Holdings Co PJSC has a GF Score™ of 91/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does International Holdings Co PJSC's WACC % compare to HON and MMM?
According to the Conglomerates industry distribution chart, International Holdings Co PJSC ranks #429 out of 574 companies for WACC %. This places International Holdings Co PJSC in the lower half of its industry. The industry median WACC % is 6.67. International Holdings Co PJSC's value of 9.94% is 49.1% above this benchmark. Historically, International Holdings Co PJSC's own WACC % has ranged from 6.90 to 10.16 over the past decade. While the company's 10-year median is 8.41 vs. the industry median of 6.67, International Holdings Co PJSC has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good WACC % for a Conglomerates company?
The median WACC % among Conglomerates companies is 6.67, based on 574 companies in the industry. Companies in the top quartile (top 25%) have a WACC % significantly above this median, while those in the bottom quartile fall well below. However, WACC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. International Holdings Co PJSC's current WACC % of 9.94% is 49.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high WACC % mean?
A high WACC % can signal that a stock is expensive relative to its fundamentals. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on International Holdings Co PJSC and its competitors. For the Conglomerates industry, the median WACC % is 6.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. International Holdings Co PJSC's current WACC % is 9.94%, which is 18% above median its own 10-year median of 8.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is International Holdings Co PJSC stock overvalued right now?
Based on GuruFocus' analysis, International Holdings Co PJSC (ADX:IHC) is currently considered Significantly Undervalued. The stock's GF Value™ is د.إ621.73, compared to a current price of د.إ382.30 — trading 38.5% below its estimated fair value. The current WACC % is 9.94%, which is 18% above median its 10-year median of 8.41 and 49.1% above the Conglomerates industry median of 6.67. International Holdings Co PJSC's overall GF Score™ is 91/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is WACC % calculated?
WACC % is calculated from a company's financial statements. For International Holdings Co PJSC (ADX:IHC), the current WACC % is 9.94% as of Jul. 04, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is International Holdings Co PJSC (ADX:IHC) Overvalued in 2026?
Based on GuruFocus' analysis, International Holdings Co PJSC stock appears to be undervalued.
The current stock price of د.إ382.30 is trading 38.5% below its estimated GF Value™ of د.إ621.73.
GuruFocus considers International Holdings Co PJSC to be Significantly Undervalued.
Key valuation signals for ADX:IHC:
WACC %: 9.94% (18% above median its 10-year median of 8.41)
GF Value™: د.إ621.73 vs. price of د.إ382.30 (38.5% below fair value)
Industry Position: 49.1% above the Conglomerates median (#429 of 574)
No single metric tells the full story. See the ADX:IHC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
International Holdings Co PJSC Business Description
International Holdings Co PJSC is a United Arab Emirates-based public joint stock company. The group, along with its subsidiaries, is engaged in management services and investing in diversified projects; trading and importing of food items; the sale of poultry products, and others. The company is organized into business segments as follows: Real estate and construction, Food, Technology, Financial services, Marine and dredging, Hospitality and leisure, Energy, Services, and other segments. It generates the majority of its revenue from the Real estate and construction segment.
91GF Score
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