Visiber57 (OTCPK:VCOR) WACC %

:-1.98% (As of Today)

View and export this data going back to 2016. Start your Free Trial

As of today (2023-09-24), Visiber57's weighted average cost of capital is -1.98%. Visiber57's ROIC % is 0.00% (calculated using TTM income statement data). Visiber57 generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.

Visiber57 WACC % Historical Data

The historical data trend for Visiber57'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.

* Premium members only.

Visiber57 Annual Data

Trend

Aug15

Aug16

Aug17

Aug18

Aug19

Aug20

Aug21

Aug22

WACC %

8.86

-17.79

-8.94

1.05

9.15

Visiber57 Quarterly Data
	May18	Aug18	Nov18	Feb19	May19	Aug19	Nov19	Feb20	May20	Aug20	Nov20	Feb21	May21	Aug21	Nov21	Feb22	May22	Aug22	Nov22	Feb23
WACC %																7.83	8.85	9.15	9.68	-1.29

Competitive Comparison

For the Shell Companies subindustry, Visiber57'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.

Annual Data Quarterly Data

Visiber57 WACC % Distribution

For the Diversified Financial Services industry and Financial Services sector, Visiber57's WACC % distribution charts can be found below:

* The bar in red indicates where Visiber57's WACC % falls in comparison to its industry or sector. The grey bar indicates the WACC %'s extreme value range as defined by GuruFocus.

Visiber57 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 + D)

Cost of Equity

(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, Visiber57's market capitalization (E) is $0.700 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 two-year average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together. As of Feb. 2023, Visiber57's latest two-year average Short-Term Debt & Capital Lease Obligation was $0 Mil and its latest two-year average Long-Term Debt & Capital Lease Obligation was $0 Mil. The total Book Value of Debt (D) is $0 Mil.
a) weight of equity = E / (E + D) = 0.700 / (0.700 + 0) = 1
b) weight of debt = D / (E + D) = 0 / (0.700 + 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 4.43800000%. 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. Visiber57's beta is -1.07.
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 = 4.43800000% + -1.07 * 6% = -1.982%

3. Cost of Debt:
GuruFocus uses last fiscal year end Interest Expense divided by the latest two-year average debt to get the simplified cost of debt.
As of Aug. 2022, Visiber57's interest expense (positive number) was $0 Mil. Its total Book Value of Debt (D) is $0 Mil.
Cost of Debt = 0 / 0 = %.

4. Multiply by one minus Average Tax Rate:
GuruFocus uses the latest two-year average tax rate to do the calculation. The calculated average tax rate is limited to between 0% and 100%. If the calculated average tax rate is higher than 100%, it is set to 100%. If the calculated average tax rate is less than 0%, it is set to 0%.
The latest Two-year Average Tax Rate is 0%.

Visiber57'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	*	-1.982%	+	0	*	%	*	(1 - 0%)
	=	-1.98%

Visiber57 (OTCPK:VCOR) 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, Visiber57's weighted average cost of capital is -1.98%. Visiber57's ROIC % is 0.00% (calculated using TTM income statement data). Visiber57 generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.

Be Aware

1. GuruFocus uses book value of debt (D) to do the calculation. It is simplified by adding latest two-year average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together.

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 last fiscal year end Interest Expense divided by the latest two-year average debt to get the simplified cost of debt.

Related Terms

Visiber57 (OTCPK:VCOR) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Diversified Financial Services » Visiber57 Corp (OTCPK:VCOR) » Definitions » WACC %

Traded in Other Exchanges

N/A

Address

Yanping North Road, No. 104-2F, Section 1, Datong District, Taipei, TWN, 10341

Website

http://www.VISIBER57.com

Visiber57 Corp is a shell company.

Executives

Chip Jin Eng	officer: Chief Financial Officer	UNIT B19, 9/F, EFFICIENCY HOUSE, 35 TAI YAU ST, SAN PO KONG, KOWLOON K3 00000
Choong Jeng Hew	director, 10 percent owner, officer: CEO & President	UNIT B19, 9/F, EFFICIENCY HOUSE, 35 TAI YAU ST, SAN PO KONG, KOWLOON K3 0000000
57 Society International Ltd	10 percent owner	UNIT B19, 9/F EFFICIENCY HOUSE, 35 TAI YAU STREET, SAN PO KONG, KOWLOON K3 00000

Visiber57 (OTCPK:VCOR) Headlines

No Headlines