As of today (2026-06-25), CDTi Advanced Materials's weighted average cost of capital is 11.35%%. CDTi Advanced Materials's ROIC % is 0.00% (calculated using TTM income statement data).
CDTi Advanced Materials 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.
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, CDTi Advanced Materials's weighted average cost of capital is 11.35%%. CDTi Advanced Materials's ROIC % is 0.00% (calculated using TTM income statement data).
CDTi Advanced Materials 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.
* 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 Auto Parts subindustry, CDTi Advanced Materials'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.
CDTi Advanced Materials WACC % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, CDTi Advanced Materials's WACC % distribution charts can be found below:
* The bar in red indicates where CDTi Advanced Materials'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, CDTi Advanced Materials's market capitalization (E) is $3.072 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 Sep. 2018, CDTi Advanced Materials's latest one-year quarterly average Book Value of Debt (D) is $0 Mil.
a) weight of equity = E / (E + D) = 3.072 / (3.072 + 0) = 1
b) weight of debt = D / (E + D) = 0 / (3.072 + 0) = 0
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 4.41%. 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. CDTi Advanced Materials's beta is 1.1564.
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 = 4.41% + 1.1564 * 6% = 11.3484%
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 Sep. 2018, CDTi Advanced Materials's interest expense (positive number) was $0.025 Mil. Its total Book Value of Debt (D) is $0 Mil.
Cost of Debt = 0.025 / 0 = %.
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 = 0.794 / -1.026 = -77.39%, which is less than 0%. Therefore it's set to 0%.
CDTi Advanced Materials'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)
=
1
*
11.3484%
+
0
*
%
*
(1 - 0%)
=
11.35%
* 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.
CDTi Advanced Materials (CDTI) has a WACC % of 11.35% as of Jun. 25, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on CDTi Advanced Materials and its competitors.
Is CDTi Advanced Materials' WACC % too high?
CDTi Advanced Materials' current WACC % is 11.35%. The Vehicles & Parts industry median WACC % is 8.61. CDTi Advanced Materials' value of 11.35% is 31.9% above this industry median.
How does CDTi Advanced Materials' WACC % compare to CSHEF and AMTY?
CDTi Advanced Materials' WACC % of 11.35% can be compared against companies in the Vehicles & Parts industry. The industry median WACC % is 8.61. CDTi Advanced Materials' value of 11.35% is 31.9% above this benchmark. 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 Vehicles & Parts company?
The median WACC % among Vehicles & Parts companies is 8.61, based on 1,346 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. CDTi Advanced Materials's current WACC % of 11.35% is 31.9% 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 CDTi Advanced Materials and its competitors. For the Vehicles & Parts industry, the median WACC % is 8.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CDTi Advanced Materials's current WACC % is 11.35%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CDTi Advanced Materials stock overvalued right now?
CDTi Advanced Materials (CDTI) has a current WACC % of 11.35%. The current WACC % is 11.35% and 31.9% above the Vehicles & Parts industry median of 8.61. 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 CDTi Advanced Materials (CDTI), the current WACC % is 11.35% as of Jun. 25, 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.
CDTi Advanced Materials Inc is a catalyst and coating technology company. It provides catalyst and catalyst coating products and services to a broad array of end user markets. Its products are used by customers to reduce emissions, increase fuel efficiency and to support the development of decarbonization technologies. It is active in three main business areas Emission systems includes diesel particulate filters (DPF) and diesel oxidation catalysts, Fuel Borne Catalyst includes a range of fuel additive products for on and offroad vehicles and equipment powered by diesel engines. CDTi sells its FBC products to distributors both as CDTi branded products and as private label products.
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