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.
Hong Yi Fiber Industry CoTPE:1452 -0.43%70 WACC % is 4.48% as of Jul. 14, 2026, which is 46% below its 10-year median of 8.25. GuruFocus rates TPE:1452 with a GF Score™ of 70/100 and a GF Value™ of NT$13.37 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,078 Manufacturing - Apparel & Accessories companies, Hong Yi Fiber Industry Co ranks better than 78.48% on this metric.
As of today (2026-07-14), Hong Yi Fiber Industry Co's weighted average cost of capital is 4.48%%. Hong Yi Fiber Industry Co's ROIC % is -5.26% (calculated using TTM income statement data).
Hong Yi Fiber Industry Co 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.
Hong Yi Fiber Industry Co (TPE:1452) 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, Hong Yi Fiber Industry Co's weighted average cost of capital is 4.48%%. Hong Yi Fiber Industry Co's ROIC % is -5.26% (calculated using TTM income statement data).
Hong Yi Fiber Industry Co 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.
* 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.
Hong Yi Fiber Industry Co WACC % Competitor Comparison
For the Textile Manufacturing subindustry, Hong Yi Fiber Industry Co'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.
Hong Yi Fiber Industry Co WACC % vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Hong Yi Fiber Industry Co's WACC % distribution charts can be found below:
* The bar in red indicates where Hong Yi Fiber Industry Co'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, Hong Yi Fiber Industry Co's market capitalization (E) is NT$1538.636 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, Hong Yi Fiber Industry Co's latest one-year quarterly average Book Value of Debt (D) is NT$27.0446 Mil.
a) weight of equity = E / (E + D) = 1538.636 / (1538.636 + 27.0446) = 0.9827
b) weight of debt = D / (E + D) = 27.0446 / (1538.636 + 27.0446) = 0.0173
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 4.62%. 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. Hong Yi Fiber Industry Co's beta is -0.0097.
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 = 4.62% + -0.0097 * 6% = 4.5618%
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, Hong Yi Fiber Industry Co's interest expense (positive number) was NT$0.019 Mil. Its total Book Value of Debt (D) is NT$27.0446 Mil.
Cost of Debt = 0.019 / 27.0446 = 0.0703%.
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 = 1.746 / -53.28 = -3.28%, 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.
Hong Yi Fiber Industry Co (TPE:1452) has a WACC % of 4.48% 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 Hong Yi Fiber Industry Co and its competitors. This is 46% below median its historical median of 8.25. Over the past decade, Hong Yi Fiber Industry Co's WACC % has ranged from 4.43 to 11.69. According to the industry distribution chart, Hong Yi Fiber Industry Co ranks #232 out of 1078 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 21.5%.
Is Hong Yi Fiber Industry Co's WACC % too high?
Hong Yi Fiber Industry Co's current WACC % of 4.48% is 46% below median its 10-year median of 8.25. Over the past 10 years, this metric has ranged from a low of 4.43 to a high of 11.69. The Manufacturing - Apparel & Accessories industry median WACC % is 8.55. Hong Yi Fiber Industry Co's value of 4.48% is 47.6% below this industry median. Based on the distribution chart, Hong Yi Fiber Industry Co ranks #232 out of 1078 companies in the Manufacturing - Apparel & Accessories industry, which is in the top quartile — a strong position relative to peers. Overall, Hong Yi Fiber Industry Co has a GF Score™ of 70/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hong Yi Fiber Industry Co's WACC % compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Hong Yi Fiber Industry Co ranks #232 out of 1078 companies for WACC %. This places Hong Yi Fiber Industry Co in the top 22% of its industry — outperforming the majority of peers. The industry median WACC % is 8.55. Hong Yi Fiber Industry Co's value of 4.48% is 47.6% below this benchmark. Historically, Hong Yi Fiber Industry Co's own WACC % has ranged from 4.43 to 11.69 over the past decade. While the company's 10-year median is 8.25 vs. the industry median of 8.55, Hong Yi Fiber Industry Co 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 a Manufacturing - Apparel & Accessories company?
The median WACC % among Manufacturing - Apparel & Accessories companies is 8.55, based on 1,078 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. Hong Yi Fiber Industry Co's current WACC % of 4.48% is 47.6% 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 Hong Yi Fiber Industry Co and its competitors. For the Manufacturing - Apparel & Accessories industry, the median WACC % is 8.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hong Yi Fiber Industry Co's current WACC % is 4.48%, which is 46% below median its own 10-year median of 8.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hong Yi Fiber Industry Co stock overvalued right now?
Based on GuruFocus' analysis, Hong Yi Fiber Industry Co (TPE:1452) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$13.37, compared to a current price of NT$11.60 — trading 13.2% below its estimated fair value. The current WACC % is 4.48%, which is 46% below median its 10-year median of 8.25 and 47.6% below the Manufacturing - Apparel & Accessories industry median of 8.55. Hong Yi Fiber Industry Co's overall GF Score™ is 70/100 with 5 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 Hong Yi Fiber Industry Co (TPE:1452), the current WACC % is 4.48% 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 Hong Yi Fiber Industry Co (TPE:1452) Overvalued in 2026?
Based on GuruFocus' analysis, Hong Yi Fiber Industry Co stock appears to be undervalued.
The current stock price of NT$11.60 is trading 13.2% below its estimated GF Value™ of NT$13.37.
GuruFocus considers Hong Yi Fiber Industry Co to be Modestly Undervalued.
Key valuation signals for TPE:1452:
WACC %: 4.48% (46% below median its 10-year median of 8.25)
GF Value™: NT$13.37 vs. price of NT$11.60 (13.2% below fair value)
Industry Position: 47.6% below the Manufacturing - Apparel & Accessories median (#232 of 1078)
No single metric tells the full story. See the TPE:1452 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hong Yi Fiber Industry Co Ltd operates in the textile manufacturing industry. The company is engaged in manufacturing textile products like regular yarn, microfiber yarn, and cationic dyeable. Its main income comes from sales of natural and artificial fiber products.
70GF Score
Get the complete analysis for TPE:1452
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
TPE:1452 has been successfully added to your 
