Globe Industries (TPE:1324) WACC %:4.79% (As of Jul. 14, 2026) — 14% Below Median

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Director of Data and Quant Analytics at GuruFocus
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TPE:1324 Globe Industries Corp TPE:1324
65 GF Score
Price NT$10.35
GF Value NT$9.89
Valuation Fairly Valued
! 3 Warning Signs
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What is Globe Industries WACC %?

Globe Industries TPE:1324 65 WACC % is 4.79% as of Jul. 14, 2026, which is 14% below its 10-year median of 5.55. GuruFocus rates TPE:1324 with a GF Score™ of 65/100 and a GF Value™ of NT$9.89 (Fairly Valued). The stock has 3 warning signs investors should review. Among 3,089 Industrial Products companies, Globe Industries ranks better than 80.93% on this metric.

As of today (2026-07-14), Globe Industries's weighted average cost of capital is 4.79%%. Globe Industries's ROIC % is -9.96% (calculated using TTM income statement data). Globe Industries 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.


Globe Industries  (TPE:1324) 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, Globe Industries's weighted average cost of capital is 4.79%%. Globe Industries's ROIC % is -9.96% (calculated using TTM income statement data). Globe Industries 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

Globe Industries WACC % Historical Data

* Premium members only.

The historical data trend for Globe Industries'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.

Globe Industries WACC % Chart

Globe Industries Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
WACC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.19 6.84 5.31 3.33 9.11

Globe Industries Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
WACC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.33 9.31 9.19 9.13 9.11

Globe Industries WACC % Competitor Comparison

For the Business Equipment & Supplies subindustry, Globe Industries'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.


Globe Industries WACC % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Globe Industries's WACC % distribution charts can be found below:

* The bar in red indicates where Globe Industries's WACC % falls into.


TPE:1324
65GF Score
Globe Industries Corp TPE:1324
WACC % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Globe Industries 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, Globe Industries's market capitalization (E) is NT$777.513 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 Dec. 2025, Globe Industries's latest one-year quarterly average Book Value of Debt (D) is NT$96.9566 Mil.
a) weight of equity = E / (E + D) = 777.513 / (777.513 + 96.9566) = 0.8891
b) weight of debt = D / (E + D) = 96.9566 / (777.513 + 96.9566) = 0.1109

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 4.589%. 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. Globe Industries's beta is 0.1189.
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 = 4.589% + 0.1189 * 6% = 5.3024%

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 Dec. 2025, Globe Industries's interest expense (positive number) was NT$0.646 Mil. Its total Book Value of Debt (D) is NT$96.9566 Mil.
Cost of Debt = 0.646 / 96.9566 = 0.6663%.

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 = 1.495 / -59.785 = -2.5%, which is less than 0%. Therefore it's set to 0%.

Globe Industries'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)
=0.8891*5.3024%+0.1109*0.6663%*(1 - 0%)
=4.79%

* 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 4.79% mean?
Globe Industries (TPE:1324) has a WACC % of 4.79% as of Jul. 14, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Globe Industries and its competitors. This is 14% below median its historical median of 5.55. Over the past decade, Globe Industries' WACC % has ranged from 3.33 to 9.11. According to the industry distribution chart, Globe Industries ranks #589 out of 3089 companies in the Industrial Products industry, placing it in the top 19.1%.
Is Globe Industries' WACC % too high?
Globe Industries' current WACC % of 4.79% is 14% below median its 10-year median of 5.55. Over the past 10 years, this metric has ranged from a low of 3.33 to a high of 9.11. The Industrial Products industry median WACC % is 9.69. Globe Industries' value of 4.79% is 50.6% below this industry median. Based on the distribution chart, Globe Industries ranks #589 out of 3089 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Globe Industries has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Globe Industries' WACC % compare to competitors?
According to the Industrial Products industry distribution chart, Globe Industries ranks #589 out of 3089 companies for WACC %. This places Globe Industries in the top 19% of its industry — outperforming the majority of peers. The industry median WACC % is 9.69. Globe Industries' value of 4.79% is 50.6% below this benchmark. Historically, Globe Industries' own WACC % has ranged from 3.33 to 9.11 over the past decade. While the company's 10-year median is 5.55 vs. the industry median of 9.69, Globe Industries has consistently been below 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 Industrial Products company?
The median WACC % among Industrial Products companies is 9.69, based on 3,089 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. Globe Industries's current WACC % of 4.79% is 50.6% below 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 Globe Industries and its competitors. For the Industrial Products industry, the median WACC % is 9.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Globe Industries's current WACC % is 4.79%, which is 14% below median its own 10-year median of 5.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Globe Industries stock overvalued right now?
Based on GuruFocus' analysis, Globe Industries (TPE:1324) is currently considered Fairly Valued. The stock's GF Value™ is NT$9.89, compared to a current price of NT$10.35 — trading 4.7% above its estimated fair value. The current WACC % is 4.79%, which is 14% below median its 10-year median of 5.55 and 50.6% below the Industrial Products industry median of 9.69. Globe Industries' overall GF Score™ is 65/100 with 3 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 Globe Industries (TPE:1324), the current WACC % is 4.79% as of Jul. 14, 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 Globe Industries (TPE:1324) Overvalued in 2026?

Based on GuruFocus' analysis, Globe Industries stock appears to be overvalued. The current stock price of NT$10.35 is trading 4.7% above its estimated GF Value™ of NT$9.89. GuruFocus considers Globe Industries to be Fairly Valued.

Key valuation signals for TPE:1324:

  • WACC %: 4.79% (14% below median its 10-year median of 5.55)
  • GF Value™: NT$9.89 vs. price of NT$10.35 (4.7% above fair value)
  • GF Score™: 65/100 with 3 warning signs
  • Industry Position: 50.6% below the Industrial Products median (#589 of 3089)

No single metric tells the full story. See the TPE:1324 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Globe Industries Business Description

Address Nanjing East Road, 7th Floor, No. 61, Section 3, Zhongshan District, Taipei, TWN, 104507
Globe Industries Corp is a manufacturer of different tapes. The products offered by the company include PVC electrical insulating tape, protective tape, masking tape, foil tape, and packaging tape, among others. Geographically, the company generates a majority of its revenue from its business in Taiwan and the rest from Africa, the Middle East, East Asia, and other regions.
65GF Score

Get the complete analysis for TPE:1324

WACC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

NT$10.35
Price
NT$9.89
GF Value