Blue Star HeliumASX:BNL +10.00% WACC % is -1.17% as of Jul. 01, 2026. The stock has 2 warning signs investors should review. Among 1,039 Oil & Gas companies, Blue Star Helium ranks better than 94.23% on this metric.
As of today (2026-07-01), Blue Star Helium's weighted average cost of capital is -1.17%%. Blue Star Helium's ROIC % is -24.77% (calculated using TTM income statement data).
Blue Star Helium earns returns that do not match up to its cost of capital. It will destroy value as it grows.
For a comprehensive WACC calculation, please access the WACC Calculator.
Blue Star Helium (ASX:BNL) 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, Blue Star Helium's weighted average cost of capital is -1.17%%. Blue Star Helium's ROIC % is -24.77% (calculated using TTM income statement data).
Blue Star Helium earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Be Aware
1. GuruFocus uses book value of debt (D) to do the calculation. It is simplified by adding latest one-year semi-annual 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 semi-annual average debt to get the simplified cost of debt.
Related Terms
Blue Star Helium WACC % Historical Data
* Premium members only.
The historical data trend for Blue Star Helium's WACC % can be seen below:
* 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 Oil & Gas E&P subindustry, Blue Star Helium'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.
Blue Star Helium WACC % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Blue Star Helium's WACC % distribution charts can be found below:
* The bar in red indicates where Blue Star Helium'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, Blue Star Helium's market capitalization (E) is A$33.830 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 semi-annual average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together. As of Dec. 2025, Blue Star Helium's latest one-year semi-annual average Book Value of Debt (D) is A$16.204 Mil.
a) weight of equity = E / (E + D) = 33.830 / (33.830 + 16.204) = 0.6761
b) weight of debt = D / (E + D) = 16.204 / (33.830 + 16.204) = 0.3239
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 4.99%. 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. Blue Star Helium's beta is -2.1176.
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 = 4.99% + -2.1176 * 6% = -7.7156%
3. Cost of Debt:
GuruFocus uses latest TTM Interest Expense divided by the latest one-year semi-annual average debt to get the simplified cost of debt.
As of Dec. 2025, Blue Star Helium's interest expense (positive number) was A$2.026 Mil. Its total Book Value of Debt (D) is A$16.204 Mil.
Cost of Debt = 2.026 / 16.204 = 12.5031%.
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 = 0 / -8.503 = 0%.
Blue Star Helium's Weighted Average Cost Of Capital (WACC) for Today is calculated as:
WACC
=
E / (E + D)
*
Cost of Equity
+
D / (E + D)
*
Cost of Debt
*
(1 - Tax Rate)
=
0.6761
*
-7.7156%
+
0.3239
*
12.5031%
*
(1 - 0%)
=
-1.17%
* 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.
Blue Star Helium (ASX:BNL) has a WACC % of -1.17% as of Jul. 01, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Blue Star Helium and its competitors. According to the industry distribution chart, Blue Star Helium ranks #60 out of 1039 companies in the Oil & Gas industry, placing it in the top 5.8%.
Is Blue Star Helium's WACC % too high?
Blue Star Helium's current WACC % is -1.17%. Based on the distribution chart, Blue Star Helium ranks #60 out of 1039 companies in the Oil & Gas industry, which is in the top quartile — a strong position relative to peers.
How does Blue Star Helium's WACC % compare to COP and EOG?
According to the Oil & Gas industry distribution chart, Blue Star Helium ranks #60 out of 1039 companies for WACC %. This places Blue Star Helium in the top 6% of its industry — outperforming the majority of peers. The industry median WACC % is 7.34. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good WACC % for an Oil & Gas company?
The median WACC % among Oil & Gas companies is 7.34, based on 1,039 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. 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 Blue Star Helium and its competitors. For the Oil & Gas industry, the median WACC % is 7.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Blue Star Helium's current WACC % is -1.17%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Blue Star Helium stock overvalued right now?
Blue Star Helium (ASX:BNL) has a current WACC % of -1.17%. The current WACC % is -1.17%. 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 Blue Star Helium (ASX:BNL), the current WACC % is -1.17% as of Jul. 01, 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.
Blue Star Helium Ltd is an independent helium exploration and production company, headquartered in Australia, with operations and exploration in North America. Blue Star is focused on providing its shareholders with exposure to multiple high-value helium projects in North America. Its project portfolio comprises the Galactica-Pegasus Project, located in Las Animas County, Colorado, and the Voyager Project. The company is organised into one main operating segment, which involves helium (including oil and gas) exploration, development, and production in the USA.
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