As of today (2026-07-07), MADARA Cosmetics AS's weighted average cost of capital is 10.48%%. MADARA Cosmetics AS's ROIC % is 0.00% (calculated using TTM income statement data).
MADARA Cosmetics AS 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.
MADARA Cosmetics AS (ORSE:MDARA) 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, MADARA Cosmetics AS's weighted average cost of capital is 10.48%%. MADARA Cosmetics AS's ROIC % is 0.00% (calculated using TTM income statement data).
MADARA Cosmetics AS 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.
Related Terms
MADARA Cosmetics AS WACC % Historical Data
* Premium members only.
The historical data trend for MADARA Cosmetics AS'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 Household & Personal Products subindustry, MADARA Cosmetics AS'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.
MADARA Cosmetics AS WACC % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, MADARA Cosmetics AS's WACC % distribution charts can be found below:
* The bar in red indicates where MADARA Cosmetics AS'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, MADARA Cosmetics AS's market capitalization (E) is €37.386 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, MADARA Cosmetics AS's latest one-year semi-annual average Book Value of Debt (D) is €0 Mil.
a) weight of equity = E / (E + D) = 37.386 / (37.386 + 0) = 1
b) weight of debt = D / (E + D) = 0 / (37.386 + 0) = 0
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 4.477%. 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. MADARA Cosmetics AS'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 = 4.477% + 1 * 6% = 10.477%
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, MADARA Cosmetics AS's interest expense (positive number) was €0.03 Mil. Its total Book Value of Debt (D) is €0 Mil.
Cost of Debt = 0.03 / 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 = 0.837 / 0.628 = 133.28%, which is higher than 100%. Therefore it's set to 100%.
MADARA Cosmetics AS'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)
=
1
*
10.477%
+
0
*
%
*
(1 - 100%)
=
10.48%
* 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.
MADARA Cosmetics AS (ORSE:MDARA) has a WACC % of 10.48% as of Jul. 07, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on MADARA Cosmetics AS and its competitors. This is 24% above median its historical median of 8.46. Over the past decade, MADARA Cosmetics AS's WACC % has ranged from 3.11 to 10.57.
Is MADARA Cosmetics AS's WACC % too high?
MADARA Cosmetics AS's current WACC % of 10.48% is 24% above median its 10-year median of 8.46. Over the past 10 years, this metric has ranged from a low of 3.11 to a high of 10.57. The Consumer Packaged Goods industry median WACC % is 7.63. MADARA Cosmetics AS's value of 10.48% is 37.4% above this industry median. Overall, MADARA Cosmetics AS has a GF Score™ of 8/100, reflecting its overall financial health beyond just this single metric.
How does MADARA Cosmetics AS's WACC % compare to PG and CL?
MADARA Cosmetics AS's WACC % of 10.48% can be compared against companies in the Consumer Packaged Goods industry. The industry median WACC % is 7.63. MADARA Cosmetics AS's value of 10.48% is 37.4% above this benchmark. Historically, MADARA Cosmetics AS's own WACC % has ranged from 3.11 to 10.57 over the past decade. While the company's 10-year median is 8.46 vs. the industry median of 7.63, MADARA Cosmetics AS 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 7.63, based on 2,032 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. MADARA Cosmetics AS's current WACC % of 10.48% is 37.4% 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 MADARA Cosmetics AS and its competitors. For the Consumer Packaged Goods industry, the median WACC % is 7.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. MADARA Cosmetics AS's current WACC % is 10.48%, which is 24% above median its own 10-year median of 8.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MADARA Cosmetics AS stock overvalued right now?
MADARA Cosmetics AS (ORSE:MDARA) has a current WACC % of 10.48%. The stock's GF Value™ is €18.22, compared to a current price of €9.88 — trading 45.8% below its estimated fair value. The current WACC % is 10.48%, which is 24% above median its 10-year median of 8.46 and 37.4% above the Consumer Packaged Goods industry median of 7.63. MADARA Cosmetics AS's overall GF Score™ is 8/100 with 1 warning sign 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 MADARA Cosmetics AS (ORSE:MDARA), the current WACC % is 10.48% as of Jul. 07, 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 MADARA Cosmetics AS (ORSE:MDARA) Overvalued in 2026?
Based on GuruFocus' analysis, MADARA Cosmetics AS stock appears to be undervalued.
The current stock price of €9.88 is trading 45.8% below its estimated GF Value™ of €18.22.
Key valuation signals for ORSE:MDARA:
WACC %: 10.48% (24% above median its 10-year median of 8.46)
GF Value™: €18.22 vs. price of €9.88 (45.8% below fair value)
Industry Position: 37.4% above the Consumer Packaged Goods median
No single metric tells the full story. See the ORSE:MDARA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
MADARA Cosmetics AS manufactures natural skin care products in the Baltic and North European regions. The company provides various cosmetic products such as toners, lip care, moisturizers, and other related products. The firm generates revenue from the production and wholesale of cosmetic products. Geographically, it generates maximum revenue from the European Union, followed by Latvia and other markets.
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