Sheel Biotech (NSE:SHEEL) WACC %:12.95% (As of Jul. 26, 2026) — 148% Above Median

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Director of Data and Quant Analytics at GuruFocus
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NSE:SHEEL Sheel Biotech Ltd NSE:SHEEL
18 GF Score
Price ₹68.00
! 2 Warning Signs
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What is Sheel Biotech WACC %?

Sheel Biotech NSE:SHEEL 18 WACC % is 12.95% as of Jul. 26, 2026, which is 148% above its 10-year median of 5.23. GuruFocus rates NSE:SHEEL with a GF Score™ of 18/100. The stock has 2 warning signs investors should review. Among 2,041 Consumer Packaged Goods companies, Sheel Biotech ranks worse than 90.45% on this metric.

As of today (2026-07-26), Sheel Biotech's weighted average cost of capital is 12.95%%. Sheel Biotech's ROIC % is 10.29% (calculated using TTM income statement data). Sheel Biotech 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.


Sheel Biotech  (NSE:SHEEL) 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, Sheel Biotech's weighted average cost of capital is 12.95%%. Sheel Biotech's ROIC % is 10.29% (calculated using TTM income statement data). Sheel Biotech 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 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 annual Interest Expense divided by the latest one-year annual average debt to get the simplified cost of debt.


Related Terms

Sheel Biotech WACC % Historical Data

* Premium members only.

The historical data trend for Sheel Biotech'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.

Sheel Biotech WACC % Chart

Sheel Biotech Annual Data
Trend Mar22 Mar23 Mar24 Mar25 Mar26
WACC %
3.79 4.25 5.23 7.25 12.75

Sheel Biotech Semi-Annual Data
Mar22 Mar23 Mar24 Mar25 Mar26
WACC % 3.79 4.25 5.23 7.25 12.75

NSE:SHEEL vs ADM, BG, TSN: WACC % Comparison

For the Farm Products subindustry, Sheel Biotech'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.


Sheel Biotech WACC % vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Sheel Biotech's WACC % distribution charts can be found below:

* The bar in red indicates where Sheel Biotech's WACC % falls into.


NSE:SHEEL
18GF Score
Sheel Biotech Ltd NSE:SHEEL
WACC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Sheel Biotech WACC % Calculation

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, Sheel Biotech's market capitalization (E) is ₹1383.973 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 annual average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together. As of Mar. 2026, Sheel Biotech's latest one-year annual average Book Value of Debt (D) is ₹131.7015 Mil.
a) weight of equity = E / (E + D) = 1383.973 / (1383.973 + 131.7015) = 0.9131
b) weight of debt = D / (E + D) = 131.7015 / (1383.973 + 131.7015) = 0.0869

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 7.02%. 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. Sheel Biotech'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 = 7.02% + 1 * 6% = 13.02%

3. Cost of Debt:
GuruFocus uses latest annual Interest Expense divided by the latest one-year annual average debt to get the simplified cost of debt.
As of Mar. 2026, Sheel Biotech's interest expense (positive number) was ₹19.145 Mil. Its total Book Value of Debt (D) is ₹131.7015 Mil.
Cost of Debt = 19.145 / 131.7015 = 14.5367%.

4. Multiply by one minus annual Tax Rate:
GuruFocus uses the most recent annual Tax Expense divided by the most recent annual Pre-Tax Income to calculate the tax rate. The calculated annual 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 annual Tax Rate = 22.596 / 140.159 = 16.12%.

Sheel Biotech'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)
=0.9131*13.02%+0.0869*14.5367%*(1 - 16.12%)
=12.95%

* 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.

Frequently Asked Questions Learn more about WACC % →
What does a WACC % of 12.95% mean?
Sheel Biotech (NSE:SHEEL) has a WACC % of 12.95% as of Jul. 26, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Sheel Biotech and its competitors. This is 148% above median its historical median of 5.23. Over the past decade, Sheel Biotech's WACC % has ranged from 3.79 to 12.95. According to the industry distribution chart, Sheel Biotech ranks #1846 out of 2041 companies in the Consumer Packaged Goods industry, placing it in the top 90.4%.
Is Sheel Biotech's WACC % too high?
Sheel Biotech's current WACC % of 12.95% is 148% above median its 10-year median of 5.23. Over the past 10 years, this metric has ranged from a low of 3.79 to a high of 12.95. The Consumer Packaged Goods industry median WACC % is 7.66. Sheel Biotech's value of 12.95% is 69.1% above this industry median. Based on the distribution chart, Sheel Biotech ranks #1846 out of 2041 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, Sheel Biotech has a GF Score™ of 18/100, reflecting its overall financial health beyond just this single metric.
How does Sheel Biotech's WACC % compare to ADM and BG?
According to the Consumer Packaged Goods industry distribution chart, Sheel Biotech ranks #1846 out of 2041 companies for WACC %. This places Sheel Biotech in the lower half of its industry. The industry median WACC % is 7.66. Sheel Biotech's value of 12.95% is 69.1% above this benchmark. Historically, Sheel Biotech's own WACC % has ranged from 3.79 to 12.95 over the past decade. While the company's 10-year median is 5.23 vs. the industry median of 7.66, Sheel Biotech 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 Consumer Packaged Goods company?
The median WACC % among Consumer Packaged Goods companies is 7.66, based on 2,041 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. Sheel Biotech's current WACC % of 12.95% is 69.1% 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 Sheel Biotech and its competitors. For the Consumer Packaged Goods industry, the median WACC % is 7.66 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sheel Biotech's current WACC % is 12.95%, which is 148% above median its own 10-year median of 5.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sheel Biotech stock overvalued right now?
Sheel Biotech (NSE:SHEEL) has a current WACC % of 12.95%. The current WACC % is 12.95%, which is 148% above median its 10-year median of 5.23 and 69.1% above the Consumer Packaged Goods industry median of 7.66. Sheel Biotech's overall GF Score™ is 18/100 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 Sheel Biotech (NSE:SHEEL), the current WACC % is 12.95% as of Jul. 26, 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.

Sheel Biotech Business Description

Address Guru Ravidas Marg, 8 Balaji Estates, 2nd Floor, Block-C, Kalkaji, South Delhi, New Delhi, IND, 110019
Sheel Biotech Ltd is engaged in the business of growing, developing, processing, and supplying a wide range of plants for field crops, fruits, vegetables, and ornamental plants through tissue culture and organic farming. It manufactures and maintain greenhouses, offer services to farmers and provide training through Farmer Producer Organizations (FPOs). The company also has a Research and Development lab with a capacity of production of 10 million* planting materials which is duly recognized by the Department of Biotechnology (DBT), Government of India.
18GF Score

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