Raj Television Network (BOM:532826) WACC %:5.5% (As of Jul. 18, 2026) — 46% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
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Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

BOM:532826 Raj Television Network Ltd BOM:532826
51 GF Score
Price ₹11.95
GF Value ₹34.40
Valuation Possible Value Trap
! 4 Warning Signs
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What is Raj Television Network WACC %?

Raj Television Network BOM:532826 +0.08% 51 WACC % is 5.5% as of Jul. 18, 2026, which is 46% below its 10-year median of 10.18. GuruFocus rates BOM:532826 with a GF Score™ of 51/100 and a GF Value™ of ₹34.40 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 1,039 Media - Diversified companies, Raj Television Network ranks better than 66.03% on this metric.

As of today (2026-07-18), Raj Television Network's weighted average cost of capital is 5.5%%. Raj Television Network's ROIC % is 2.12% (calculated using TTM income statement data). Raj Television Network 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.


Raj Television Network  (BOM:532826) 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, Raj Television Network's weighted average cost of capital is 5.5%%. Raj Television Network's ROIC % is 2.12% (calculated using TTM income statement data). Raj Television Network 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 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

Raj Television Network WACC % Historical Data

* Premium members only.

The historical data trend for Raj Television Network'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.

Raj Television Network WACC % Chart

Raj Television Network Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
WACC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.44 10.36 10.70 10.28 6.77

Raj Television Network Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
WACC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 10.28 0.00 3.82 0.00 6.77

BOM:532826 vs NXST: WACC % Comparison

For the Broadcasting subindustry, Raj Television Network'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.


Raj Television Network WACC % vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Raj Television Network's WACC % distribution charts can be found below:

* The bar in red indicates where Raj Television Network's WACC % falls into.


BOM:532826
51GF Score
Raj Television Network Ltd BOM:532826
WACC % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Raj Television Network WACC % Calculation

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, Raj Television Network's market capitalization (E) is ₹620.364 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, Raj Television Network's latest one-year quarterly average Book Value of Debt (D) is ₹245.223 Mil.
a) weight of equity = E / (E + D) = 620.364 / (620.364 + 245.223) = 0.7167
b) weight of debt = D / (E + D) = 245.223 / (620.364 + 245.223) = 0.2833

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 7.02%. 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. Raj Television Network's beta is -0.3962.
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 = 7.02% + -0.3962 * 6% = 4.6428%

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, Raj Television Network's interest expense (positive number) was ₹27.519 Mil. Its total Book Value of Debt (D) is ₹245.223 Mil.
Cost of Debt = 27.519 / 245.223 = 11.222%.

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 = 3.692 / 11.604 = 31.82%.

Raj Television Network'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)
=0.7167*4.6428%+0.2833*11.222%*(1 - 31.82%)
=5.5%

* 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.

Frequently Asked Questions Learn more about WACC % →
What does a WACC % of 5.5% mean?
Raj Television Network (BOM:532826) has a WACC % of 5.5% as of Jul. 18, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Raj Television Network and its competitors. This is 46% below median its historical median of 10.18. Over the past decade, Raj Television Network's WACC % has ranged from 5.50 to 16.05. According to the industry distribution chart, Raj Television Network ranks #353 out of 1039 companies in the Media - Diversified industry, placing it in the top 34%.
Is Raj Television Network's WACC % too high?
Raj Television Network's current WACC % of 5.5% is 46% below median its 10-year median of 10.18. Over the past 10 years, this metric has ranged from a low of 5.50 to a high of 16.05. The Media - Diversified industry median WACC % is 7.36. Raj Television Network's value of 5.5% is 25.3% below this industry median. Based on the distribution chart, Raj Television Network ranks #353 out of 1039 companies in the Media - Diversified industry, which is above the industry midpoint. Overall, Raj Television Network has a GF Score™ of 51/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Raj Television Network's WACC % compare to NXST?
According to the Media - Diversified industry distribution chart, Raj Television Network ranks #353 out of 1039 companies for WACC %. This puts Raj Television Network in the upper half of its industry. The industry median WACC % is 7.36. Raj Television Network's value of 5.5% is 25.3% below this benchmark. Historically, Raj Television Network's own WACC % has ranged from 5.50 to 16.05 over the past decade. While the company's 10-year median is 10.18 vs. the industry median of 7.36, Raj Television Network has consistently been below 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 Media - Diversified company?
The median WACC % among Media - Diversified companies is 7.36, 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. Raj Television Network's current WACC % of 5.5% is 25.3% below 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 Raj Television Network and its competitors. For the Media - Diversified industry, the median WACC % is 7.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Raj Television Network's current WACC % is 5.5%, which is 46% below median its own 10-year median of 10.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Raj Television Network stock overvalued right now?
Based on GuruFocus' analysis, Raj Television Network (BOM:532826) is currently considered Possible Value Trap. The stock's GF Value™ is ₹34.40, compared to a current price of ₹11.95 — trading 65.3% below its estimated fair value. The current WACC % is 5.5%, which is 46% below median its 10-year median of 10.18 and 25.3% below the Media - Diversified industry median of 7.36. Raj Television Network's overall GF Score™ is 51/100 with 4 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 Raj Television Network (BOM:532826), the current WACC % is 5.5% as of Jul. 18, 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 Raj Television Network (BOM:532826) Overvalued in 2026?

Based on GuruFocus' analysis, Raj Television Network stock appears to be undervalued. The current stock price of ₹11.95 is trading 65.3% below its estimated GF Value™ of ₹34.40. GuruFocus considers Raj Television Network to be Possible Value Trap.

Key valuation signals for BOM:532826:

  • WACC %: 5.5% (46% below median its 10-year median of 10.18)
  • GF Value™: ₹34.40 vs. price of ₹11.95 (65.3% below fair value)
  • GF Score™: 51/100 with 4 warning signs
  • Industry Position: 25.3% below the Media - Diversified median (#353 of 1039)

No single metric tells the full story. See the BOM:532826 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Raj Television Network Business Description

Other Exchanges RAJTV:India
Address Number 32, Poes Road, Second Street, Teynampet, Chennai, TN, IND, 600018
Raj Television Network Ltd is a Tamil television and broadcasting company. It caters to the entertainment needs and production of content across different formats and platforms, such as fiction and reality shows for television, movies, music, digital, plays, and live events. The company generates revenue through segments such as Advertisement, Airtime charges, Pay channel distribution revenue, Subscription revenue, Sale of rights, and Sales export revenue. It operates approximately channels in the Indian languages including Tamil, Telugu, Kannada, Malayalam, and Hindi. The company generates all of its revenue from Broadcasting.
51GF Score

Get the complete analysis for BOM:532826

WACC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹11.95
Price
₹34.40
GF Value