Dubai Insurance Co PSCDFM:DIN 73 WACC % is 13.97% as of Jun. 27, 2026, which is 68% above its 10-year median of 8.34. GuruFocus rates DFM:DIN with a GF Score™ of 73/100 and a GF Value™ of د.إ17.69 (Fairly Valued). The stock has 5 warning signs investors should review. Among 516 Insurance companies, Dubai Insurance Co PSC ranks worse than 91.28% on this metric.
As of today (2026-06-27), Dubai Insurance Co PSC's weighted average cost of capital is 13.97%%. Dubai Insurance Co PSC's ROIC % is 0.00% (calculated using TTM income statement data).
Dubai Insurance Co PSC 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.
Dubai Insurance Co PSC (DFM:DIN) 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, Dubai Insurance Co PSC's weighted average cost of capital is 13.97%%. Dubai Insurance Co PSC's ROIC % is 0.00% (calculated using TTM income statement data).
Dubai Insurance Co PSC 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.
* 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 Insurance - Diversified subindustry, Dubai Insurance Co PSC'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.
Dubai Insurance Co PSC WACC % vs Insurance Industry
For the Insurance industry and Financial Services sector, Dubai Insurance Co PSC's WACC % distribution charts can be found below:
* The bar in red indicates where Dubai Insurance Co PSC'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, Dubai Insurance Co PSC's market capitalization (E) is د.إ1700.000 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, Dubai Insurance Co PSC's latest one-year quarterly average Book Value of Debt (D) is د.إ35.6628 Mil.
a) weight of equity = E / (E + D) = 1700.000 / (1700.000 + 35.6628) = 0.9795
b) weight of debt = D / (E + D) = 35.6628 / (1700.000 + 35.6628) = 0.0205
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 4.376%. 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. Dubai Insurance Co PSC'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 = 4.376% + 1 * 6% = 10.376%
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, Dubai Insurance Co PSC's interest expense (positive number) was د.إ73.017 Mil. Its total Book Value of Debt (D) is د.إ35.6628 Mil.
Cost of Debt = 73.017 / 35.6628 = 204.7428%.
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 = 22.175 / 236.805 = 9.36%.
Dubai Insurance Co PSC'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)
=
0.9795
*
10.376%
+
0.0205
*
204.7428%
*
(1 - 9.36%)
=
13.97%
* 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.
Dubai Insurance Co PSC (DFM:DIN) has a WACC % of 13.97% as of Jun. 27, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Dubai Insurance Co PSC and its competitors. This is 68% above median its historical median of 8.34. Over the past decade, Dubai Insurance Co PSC's WACC % has ranged from 6.90 to 14.58. According to the industry distribution chart, Dubai Insurance Co PSC ranks #471 out of 516 companies in the Insurance industry, placing it in the top 91.3%.
Is Dubai Insurance Co PSC's WACC % too high?
Dubai Insurance Co PSC's current WACC % of 13.97% is 68% above median its 10-year median of 8.34. Over the past 10 years, this metric has ranged from a low of 6.90 to a high of 14.58. The Insurance industry median WACC % is 9.17. Dubai Insurance Co PSC's value of 13.97% is 52.3% above this industry median. Based on the distribution chart, Dubai Insurance Co PSC ranks #471 out of 516 companies in the Insurance industry, which is in the bottom quartile relative to peers. Overall, Dubai Insurance Co PSC has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Dubai Insurance Co PSC's WACC % compare to BRK.A and AIG?
According to the Insurance industry distribution chart, Dubai Insurance Co PSC ranks #471 out of 516 companies for WACC %. This places Dubai Insurance Co PSC in the lower half of its industry. The industry median WACC % is 9.17. Dubai Insurance Co PSC's value of 13.97% is 52.3% above this benchmark. Historically, Dubai Insurance Co PSC's own WACC % has ranged from 6.90 to 14.58 over the past decade. While the company's 10-year median is 8.34 vs. the industry median of 9.17, Dubai Insurance Co PSC 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 an Insurance company?
The median WACC % among Insurance companies is 9.17, based on 516 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. Dubai Insurance Co PSC's current WACC % of 13.97% is 52.3% 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 Dubai Insurance Co PSC and its competitors. For the Insurance industry, the median WACC % is 9.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dubai Insurance Co PSC's current WACC % is 13.97%, which is 68% above median its own 10-year median of 8.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dubai Insurance Co PSC stock overvalued right now?
Based on GuruFocus' analysis, Dubai Insurance Co PSC (DFM:DIN) is currently considered Fairly Valued. The stock's GF Value™ is د.إ17.69, compared to a current price of د.إ17.00 — trading 3.9% below its estimated fair value. The current WACC % is 13.97%, which is 68% above median its 10-year median of 8.34 and 52.3% above the Insurance industry median of 9.17. Dubai Insurance Co PSC's overall GF Score™ is 73/100 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 Dubai Insurance Co PSC (DFM:DIN), the current WACC % is 13.97% as of Jun. 27, 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 Dubai Insurance Co PSC (DFM:DIN) Overvalued in 2026?
Based on GuruFocus' analysis, Dubai Insurance Co PSC stock appears to be undervalued.
The current stock price of د.إ17.00 is trading 3.9% below its estimated GF Value™ of د.إ17.69.
GuruFocus considers Dubai Insurance Co PSC to be Fairly Valued.
Key valuation signals for DFM:DIN:
WACC %: 13.97% (68% above median its 10-year median of 8.34)
GF Value™: د.إ17.69 vs. price of د.إ17.00 (3.9% below fair value)
Industry Position: 52.3% above the Insurance median (#471 of 516)
No single metric tells the full story. See the DFM:DIN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dubai Insurance Co PSC is an insurance company. The company issues short-term insurance contracts in connection with general insurance including motor, marine, fire, engineering, accident; and life insurance includes group life and individual life. The company operates in three segments: The Medical and life insurance segment offers short-term group health and life insurance. The Motor and general insurance segment comprises general and health insurance. Products offered under general insurance include motor, marine, fire, engineering, general accident, and medical. The company derives maximum revenue from Motor and general insurance segment.
73GF Score
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