Investcorp Credit Management BDCICMB -4.88%37 WACC % is 6.6% as of Jul. 01, 2026, which is 7% below its 10-year median of 7.10. GuruFocus rates ICMB with a GF Score™ of 37/100 and a GF Value™ of $2.92 (Significantly Undervalued). Among 1,649 Asset Management companies, Investcorp Credit Management BDC ranks worse than 59.13% on this metric.
As of today (2026-07-01), Investcorp Credit Management BDC's weighted average cost of capital is 6.6%%. Investcorp Credit Management BDC's ROIC % is 0.00% (calculated using TTM income statement data).
Investcorp Credit Management BDC 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, Investcorp Credit Management BDC's weighted average cost of capital is 6.6%%. Investcorp Credit Management BDC's ROIC % is 0.00% (calculated using TTM income statement data).
Investcorp Credit Management BDC 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
Investcorp Credit Management BDC WACC % Historical Data
* 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 Asset Management subindustry, Investcorp Credit Management BDC'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.
Investcorp Credit Management BDC WACC % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Investcorp Credit Management BDC's WACC % distribution charts can be found below:
* The bar in red indicates where Investcorp Credit Management BDC'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, Investcorp Credit Management BDC's market capitalization (E) is $17.175 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, Investcorp Credit Management BDC's latest one-year quarterly average Book Value of Debt (D) is $122.5788 Mil.
a) weight of equity = E / (E + D) = 17.175 / (17.175 + 122.5788) = 0.1229
b) weight of debt = D / (E + D) = 122.5788 / (17.175 + 122.5788) = 0.8771
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 4.463%. 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. Investcorp Credit Management BDC's beta is 0.8946.
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 = 4.463% + 0.8946 * 6% = 9.8306%
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, Investcorp Credit Management BDC's interest expense (positive number) was $7.535 Mil. Its total Book Value of Debt (D) is $122.5788 Mil.
Cost of Debt = 7.535 / 122.5788 = 6.1471%.
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 = 0.508 / -19.174 = -2.65%, which is less than 0%. Therefore it's set to 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.
Investcorp Credit Management BDC (ICMB) has a WACC % of 6.6% as of Jul. 01, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Investcorp Credit Management BDC and its competitors. This is near median its historical median of 7.10. Over the past decade, Investcorp Credit Management BDC's WACC % has ranged from 4.98 to 8.34. According to the industry distribution chart, Investcorp Credit Management BDC ranks #975 out of 1649 companies in the Asset Management industry, placing it in the top 59.1%.
Is Investcorp Credit Management BDC's WACC % too high?
Investcorp Credit Management BDC's current WACC % of 6.6% is near median its 10-year median of 7.10. Over the past 10 years, this metric has ranged from a low of 4.98 to a high of 8.34. The Asset Management industry median WACC % is 5.67. Investcorp Credit Management BDC's value of 6.6% is 16.4% above this industry median. Based on the distribution chart, Investcorp Credit Management BDC ranks #975 out of 1649 companies in the Asset Management industry, which is below the industry midpoint. Overall, Investcorp Credit Management BDC has a GF Score™ of 37/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Investcorp Credit Management BDC's WACC % compare to EQS and BHV?
According to the Asset Management industry distribution chart, Investcorp Credit Management BDC ranks #975 out of 1649 companies for WACC %. This places Investcorp Credit Management BDC in the lower half of its industry. The industry median WACC % is 5.67. Investcorp Credit Management BDC's value of 6.6% is 16.4% above this benchmark. Historically, Investcorp Credit Management BDC's own WACC % has ranged from 4.98 to 8.34 over the past decade. While the company's 10-year median is 7.10 vs. the industry median of 5.67, Investcorp Credit Management BDC 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 Asset Management company?
The median WACC % among Asset Management companies is 5.67, based on 1,649 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. Investcorp Credit Management BDC's current WACC % of 6.6% is 16.4% 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 Investcorp Credit Management BDC and its competitors. For the Asset Management industry, the median WACC % is 5.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Investcorp Credit Management BDC's current WACC % is 6.6%, which is near median its own 10-year median of 7.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Investcorp Credit Management BDC stock overvalued right now?
Based on GuruFocus' analysis, Investcorp Credit Management BDC (ICMB) is currently considered Significantly Undervalued. The stock's GF Value™ is $2.92, compared to a current price of $1.19 — trading 59.2% below its estimated fair value. The current WACC % is 6.6%, which is near median its 10-year median of 7.10 and 16.4% above the Asset Management industry median of 5.67. Investcorp Credit Management BDC's overall GF Score™ is 37/100. 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 Investcorp Credit Management BDC (ICMB), the current WACC % is 6.6% as of Jul. 01, 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 Investcorp Credit Management BDC (ICMB) Overvalued in 2026?
Based on GuruFocus' analysis, Investcorp Credit Management BDC stock appears to be undervalued.
The current stock price of $1.19 is trading 59.2% below its estimated GF Value™ of $2.92.
GuruFocus considers Investcorp Credit Management BDC to be Significantly Undervalued.
Key valuation signals for ICMB:
WACC %: 6.6% (near median its 10-year median of 7.10)
GF Value™: $2.92 vs. price of $1.19 (59.2% below fair value)
Industry Position: 16.4% above the Asset Management median (#975 of 1649)
No single metric tells the full story. See the ICMB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Investcorp Credit Management BDC Business Description
Investcorp Credit Management BDC Inc is an externally managed, non-diversified closed-end management investment firm that has elected to be regulated as a business development company (BDC). The investment objective of the company is to maximize total return to stockholders in the form of current income and capital appreciation by investing in debt and related equity of privately held lower middle-market companies. The company principally invests in the debt of middle-market companies, which it defines as those companies that have an enterprise value.
37GF Score
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