Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
For a comprehensive WACC calculation, please access the WACC Calculator.
Advance International Co for Communication and Information Technology (SAU:9524) 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, Advance International Co for Communication and Information Technology's weighted average cost of capital is 7.58%%. Advance International Co for Communication and Information Technology's ROIC % is -22.31% (calculated using TTM income statement data).
Advance International Co for Communication and Information Technology 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 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
Advance International Co for Communication and Information Technology 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.
Advance International Co for Communication and Information Technology WACC % Chart
Advance International Co for Communication and Information Technology Annual Data
Trend
Dec21
Dec22
Dec23
Dec24
Dec25
WACC %
73.72
5.86
9.83
10.45
7.70
Advance International Co for Communication and Information Technology Semi-Annual Data
* 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.
Advance International Co for Communication and Information Technology WACC % vs Business Services Industry
Advance International Co for Communication and Information Technology 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, Advance International Co for Communication and Information Technology's market capitalization (E) is ï·¼76.800 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, Advance International Co for Communication and Information Technology's latest one-year semi-annual average Book Value of Debt (D) is ï·¼7.838 Mil.
a) weight of equity = E / (E + D) = 76.800 / (76.800 + 7.838) = 0.9074
b) weight of debt = D / (E + D) = 7.838 / (76.800 + 7.838) = 0.0926
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 4.695%. 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. Advance International Co for Communication and Information Technology's beta is 0.5367.
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 = 4.695% + 0.5367 * 6% = 7.9152%
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, Advance International Co for Communication and Information Technology's interest expense (positive number) was ï·¼0.334 Mil. Its total Book Value of Debt (D) is ï·¼7.838 Mil.
Cost of Debt = 0.334 / 7.838 = 4.2613%.
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 = 0.396 / -17.384 = -2.28%, 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.
Advance International Co for Communication and Information Technology (SAU:9524) has a WACC % of 7.58% as of Jul. 23, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Advance International Co for Communication and Information Technology and its competitors. This is 23% below median its historical median of 9.83. Over the past decade, Advance International Co for Communication and Information Technology's WACC % has ranged from 5.86 to 73.72. According to the industry distribution chart, Advance International Co for Communication and Information Technology ranks #584 out of 1115 companies in the Business Services industry, placing it in the top 52.4%.
Is Advance International Co for Communication and Information Technology's WACC % too high?
Advance International Co for Communication and Information Technology's current WACC % of 7.58% is 23% below median its 10-year median of 9.83. Over the past 10 years, this metric has ranged from a low of 5.86 to a high of 73.72. The Business Services industry median WACC % is 7.19. Advance International Co for Communication and Information Technology's value of 7.58% is 5.4% above this industry median. Based on the distribution chart, Advance International Co for Communication and Information Technology ranks #584 out of 1115 companies in the Business Services industry, which is below the industry midpoint. Overall, Advance International Co for Communication and Information Technology has a GF Scoreâ„¢ of 34/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Advance International Co for Communication and Information Technology's WACC % compare to ALLE and MSA?
According to the Business Services industry distribution chart, Advance International Co for Communication and Information Technology ranks #584 out of 1115 companies for WACC %. This places Advance International Co for Communication and Information Technology in the lower half of its industry. The industry median WACC % is 7.19. Advance International Co for Communication and Information Technology's value of 7.58% is 5.4% above this benchmark. Historically, Advance International Co for Communication and Information Technology's own WACC % has ranged from 5.86 to 73.72 over the past decade. While the company's 10-year median is 9.83 vs. the industry median of 7.19, Advance International Co for Communication and Information Technology 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 Business Services company?
The median WACC % among Business Services companies is 7.19, based on 1,115 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. Advance International Co for Communication and Information Technology's current WACC % of 7.58% is 5.4% 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 Advance International Co for Communication and Information Technology and its competitors. For the Business Services industry, the median WACC % is 7.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Advance International Co for Communication and Information Technology's current WACC % is 7.58%, which is 23% below median its own 10-year median of 9.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Advance International Co for Communication and Information Technology stock overvalued right now?
Based on GuruFocus' analysis, Advance International Co for Communication and Information Technology (SAU:9524) is currently considered Possible Value Trap. The stock's GF Value™ is ﷼3.30, compared to a current price of ﷼1.20 — trading 63.6% below its estimated fair value. The current WACC % is 7.58%, which is 23% below median its 10-year median of 9.83 and 5.4% above the Business Services industry median of 7.19. Advance International Co for Communication and Information Technology's overall GF Score™ is 34/100 with 6 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 Advance International Co for Communication and Information Technology (SAU:9524), the current WACC % is 7.58% as of Jul. 23, 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 Advance International Co for Communication and Information Technology (SAU:9524) Overvalued in 2026?
Based on GuruFocus' analysis, Advance International Co for Communication and Information Technology stock appears to be undervalued.
The current stock price of ï·¼1.20 is trading 63.6% below its estimated GF Value™ of ï·¼3.30.
GuruFocus considers Advance International Co for Communication and Information Technology to be Possible Value Trap.
Key valuation signals for SAU:9524:
WACC %: 7.58% (23% below median its 10-year median of 9.83)
GF Value™: ï·¼3.30 vs. price of ï·¼1.20 (63.6% below fair value)
Industry Position: 5.4% above the Business Services median (#584 of 1115)
No single metric tells the full story. See the SAU:9524 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Advance International Co for Communication and Information Technology Business Description
Advance International Co for Communication and Information Technology is engaged in import, sale, installation, operation and maintenance of security surveillance cameras, bag and parcel inspection devices, security fences, biometric magnetic card entry and exit gates, burglar alarm devices and systems, metal and explosives detection gates, electronic works, communications technology, networks and computer software. Its products include Interactive Displays, Indoor surveillance cameras, CCTV Accessories, parking gates, Rfid card tlag, Control panels, Magnetic Locks, Accesses control device, Accessories, Parking system, Individual entry gates, Fingerprint devices, Electronic hotel locks, Security inspection system, Smart locks, NVR Recorders, Fingerprint reader, and surveillance cameras.
34GF Score
Get the complete analysis for SAU:9524
WACC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SAU:9524 has been successfully added to your 
