Caribou BiosciencesCRBU +2.56%65 WACC % is 19.59% as of Jul. 02, 2026, which is 111% above its 10-year median of 9.29. GuruFocus rates CRBU with a GF Score™ of 65/100 and a GF Value™ of $1.69 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,424 Biotechnology companies, Caribou Biosciences ranks worse than 91.22% on this metric.
As of today (2026-07-02), Caribou Biosciences's weighted average cost of capital is 19.59%%. Caribou Biosciences's ROIC % is -253.48% (calculated using TTM income statement data).
Caribou Biosciences 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.
Caribou Biosciences (NAS:CRBU) 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, Caribou Biosciences's weighted average cost of capital is 19.59%%. Caribou Biosciences's ROIC % is -253.48% (calculated using TTM income statement data).
Caribou Biosciences 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
Caribou Biosciences WACC % Historical Data
* Premium members only.
The historical data trend for Caribou Biosciences'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 Biotechnology subindustry, Caribou Biosciences'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.
Caribou Biosciences WACC % vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Caribou Biosciences's WACC % distribution charts can be found below:
* The bar in red indicates where Caribou Biosciences'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, Caribou Biosciences's market capitalization (E) is $179.018 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, Caribou Biosciences's latest one-year quarterly average Book Value of Debt (D) is $26.3424 Mil.
a) weight of equity = E / (E + D) = 179.018 / (179.018 + 26.3424) = 0.8717
b) weight of debt = D / (E + D) = 26.3424 / (179.018 + 26.3424) = 0.1283
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. Caribou Biosciences's beta is 2.9977.
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% + 2.9977 * 6% = 22.4712%
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, Caribou Biosciences's interest expense (positive number) was $-0 Mil. Its total Book Value of Debt (D) is $26.3424 Mil.
Cost of Debt = -0 / 26.3424 = 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 / -133.769 = 0%.
Caribou Biosciences'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)
=
0.8717
*
22.4712%
+
0.1283
*
0%
*
(1 - 0%)
=
19.59%
* 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.
Caribou Biosciences (CRBU) has a WACC % of 19.59% as of Jul. 02, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Caribou Biosciences and its competitors. This is 111% above median its historical median of 9.29. Over the past decade, Caribou Biosciences' WACC % has ranged from 1.20 to 23.98. According to the industry distribution chart, Caribou Biosciences ranks #1299 out of 1424 companies in the Biotechnology industry, placing it in the top 91.2%.
Is Caribou Biosciences' WACC % too high?
Caribou Biosciences' current WACC % of 19.59% is 111% above median its 10-year median of 9.29. Over the past 10 years, this metric has ranged from a low of 1.20 to a high of 23.98. The Biotechnology industry median WACC % is 10.03. Caribou Biosciences' value of 19.59% is 95.4% above this industry median. Based on the distribution chart, Caribou Biosciences ranks #1299 out of 1424 companies in the Biotechnology industry, which is in the bottom quartile relative to peers. Overall, Caribou Biosciences has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Caribou Biosciences' WACC % compare to YDES and PRQR?
According to the Biotechnology industry distribution chart, Caribou Biosciences ranks #1299 out of 1424 companies for WACC %. This places Caribou Biosciences in the lower half of its industry. The industry median WACC % is 10.03. Caribou Biosciences' value of 19.59% is 95.4% above this benchmark. Historically, Caribou Biosciences' own WACC % has ranged from 1.20 to 23.98 over the past decade. While the company's 10-year median is 9.29 vs. the industry median of 10.03, Caribou Biosciences 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 Biotechnology company?
The median WACC % among Biotechnology companies is 10.03, based on 1,424 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. Caribou Biosciences's current WACC % of 19.59% is 95.4% 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 Caribou Biosciences and its competitors. For the Biotechnology industry, the median WACC % is 10.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Caribou Biosciences's current WACC % is 19.59%, which is 111% above median its own 10-year median of 9.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Caribou Biosciences stock overvalued right now?
Based on GuruFocus' analysis, Caribou Biosciences (CRBU) is currently considered Fairly Valued. The stock's GF Value™ is $1.69, compared to a current price of $1.81 — trading 6.8% above its estimated fair value. The current WACC % is 19.59%, which is 111% above median its 10-year median of 9.29 and 95.4% above the Biotechnology industry median of 10.03. Caribou Biosciences' overall GF Score™ is 65/100 with 5 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 Caribou Biosciences (CRBU), the current WACC % is 19.59% as of Jul. 02, 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 Caribou Biosciences (CRBU) Overvalued in 2026?
Based on GuruFocus' analysis, Caribou Biosciences stock appears to be overvalued.
The current stock price of $1.81 is trading 6.8% above its estimated GF Value™ of $1.69.
GuruFocus considers Caribou Biosciences to be Fairly Valued.
Key valuation signals for CRBU:
WACC %: 19.59% (111% above median its 10-year median of 9.29)
GF Value™: $1.69 vs. price of $1.81 (6.8% above fair value)
Industry Position: 95.4% above the Biotechnology median (#1299 of 1424)
No single metric tells the full story. See the CRBU stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Caribou Biosciences Inc is a clinical-stage Clustered Regularly Interspaced Short Palindromic Repeats (CRISPR) genome-editing biopharmaceutical company dedicated to developing transformative therapies for patients with devastating diseases. The company is focused on advancing two clinical-stage allogeneic CAR-T cell therapy product candidates for the treatment of patients with hematologic malignancies: Vispacabtagene regedleucel and CB-011. It operates in one reportable segment, which is the business of developing allogeneic CAR-T cell therapies. Geographically, it operates in the United States and the rest of the World, of which the United States derives the maximum revenue.
65GF Score
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