Hotel101 Global HoldingsHBNB +1.22%12 WACC % is 11.03% as of Jul. 04, 2026, which is 17% below its 10-year median of 13.25. GuruFocus rates HBNB with a GF Score™ of 12/100. The stock has 2 warning signs investors should review. Among 1,841 Real Estate companies, Hotel101 Global Holdings ranks worse than 83.98% on this metric.
As of today (2026-07-04), Hotel101 Global Holdings's weighted average cost of capital is 11.03%%. Hotel101 Global Holdings's ROIC % is 4.23% (calculated using TTM income statement data).
Hotel101 Global Holdings 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.
Hotel101 Global Holdings (NAS:HBNB) 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, Hotel101 Global Holdings's weighted average cost of capital is 11.03%%. Hotel101 Global Holdings's ROIC % is 4.23% (calculated using TTM income statement data).
Hotel101 Global Holdings 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 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.
* 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 Real Estate Services subindustry, Hotel101 Global Holdings'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.
Hotel101 Global Holdings WACC % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Hotel101 Global Holdings's WACC % distribution charts can be found below:
* The bar in red indicates where Hotel101 Global Holdings'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, Hotel101 Global Holdings's market capitalization (E) is $1257.924 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, Hotel101 Global Holdings's latest one-year semi-annual average Book Value of Debt (D) is $1.176 Mil.
a) weight of equity = E / (E + D) = 1257.924 / (1257.924 + 1.176) = 0.9991
b) weight of debt = D / (E + D) = 1.176 / (1257.924 + 1.176) = 0.0009
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. Hotel101 Global Holdings'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 = 4.485% + 1 * 6% = 10.485%
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, Hotel101 Global Holdings's interest expense (positive number) was $7.282 Mil. Its total Book Value of Debt (D) is $1.176 Mil.
Cost of Debt = 7.282 / 1.176 = 619.2177%.
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 / -19.268 = 0%.
* 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.
Hotel101 Global Holdings (HBNB) has a WACC % of 11.03% as of Jul. 04, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Hotel101 Global Holdings and its competitors. This is 17% below median its historical median of 13.25. Over the past decade, Hotel101 Global Holdings' WACC % has ranged from 10.59 to 124.23. According to the industry distribution chart, Hotel101 Global Holdings ranks #1546 out of 1841 companies in the Real Estate industry, placing it in the top 84%.
Is Hotel101 Global Holdings' WACC % too high?
Hotel101 Global Holdings' current WACC % of 11.03% is 17% below median its 10-year median of 13.25. Over the past 10 years, this metric has ranged from a low of 10.59 to a high of 124.23. The Real Estate industry median WACC % is 6.49. Hotel101 Global Holdings' value of 11.03% is 70% above this industry median. Based on the distribution chart, Hotel101 Global Holdings ranks #1546 out of 1841 companies in the Real Estate industry, which is in the bottom quartile relative to peers. Overall, Hotel101 Global Holdings has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Hotel101 Global Holdings' WACC % compare to MMI and AGNT?
According to the Real Estate industry distribution chart, Hotel101 Global Holdings ranks #1546 out of 1841 companies for WACC %. This places Hotel101 Global Holdings in the lower half of its industry. The industry median WACC % is 6.49. Hotel101 Global Holdings' value of 11.03% is 70% above this benchmark. Historically, Hotel101 Global Holdings' own WACC % has ranged from 10.59 to 124.23 over the past decade. While the company's 10-year median is 13.25 vs. the industry median of 6.49, Hotel101 Global Holdings 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 Real Estate company?
The median WACC % among Real Estate companies is 6.49, based on 1,841 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. Hotel101 Global Holdings's current WACC % of 11.03% is 70% 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 Hotel101 Global Holdings and its competitors. For the Real Estate industry, the median WACC % is 6.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hotel101 Global Holdings's current WACC % is 11.03%, which is 17% below median its own 10-year median of 13.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hotel101 Global Holdings stock overvalued right now?
Hotel101 Global Holdings (HBNB) has a current WACC % of 11.03%. The current WACC % is 11.03%, which is 17% below median its 10-year median of 13.25 and 70% above the Real Estate industry median of 6.49. Hotel101 Global Holdings' overall GF Score™ is 12/100 with 2 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 Hotel101 Global Holdings (HBNB), the current WACC % is 11.03% as of Jul. 04, 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.
Hotel101 Global Holdings Corp is an asset-light, prop-tech hospitality platform. The company generates revenue twice: first, in the form of upfront revenue from the sale of its standardized hotel units to real estate unit buyers, and second, in the form of recurring revenues from long-term contracts for the day-to-day management and operation of these hotel units enrolled on the Hotel101 platform. The Company has one reportable segment, which is property development. The property development segment includes the acquisition and development of real estate properties and the sale of these real estate properties and units.
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