Barita InvestmentsXJAM:BIL -0.09%61 WACC % is 9.91% as of Jul. 09, 2026, which is 7% above its 10-year median of 9.23. GuruFocus rates XJAM:BIL with a GF Score™ of 61/100 and a GF Value™ of JMD17,082.17 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 828 Capital Markets companies, Barita Investments ranks worse than 54.95% on this metric.
As of today (2026-07-09), Barita Investments's weighted average cost of capital is 9.91%%. Barita Investments's ROIC % is 0.00% (calculated using TTM income statement data).
Barita Investments 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.
Barita Investments (XJAM:BIL) 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, Barita Investments's weighted average cost of capital is 9.91%%. Barita Investments's ROIC % is 0.00% (calculated using TTM income statement data).
Barita Investments 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 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
Barita Investments WACC % Historical Data
* Premium members only.
The historical data trend for Barita Investments'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 Capital Markets subindustry, Barita Investments'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.
Barita Investments WACC % vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, Barita Investments's WACC % distribution charts can be found below:
* The bar in red indicates where Barita Investments'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, Barita Investments's market capitalization (E) is JMD81969.033 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 Mar. 2026, Barita Investments's latest one-year quarterly average Book Value of Debt (D) is JMD18934.939 Mil.
a) weight of equity = E / (E + D) = 81969.033 / (81969.033 + 18934.939) = 0.8123
b) weight of debt = D / (E + D) = 18934.939 / (81969.033 + 18934.939) = 0.1877
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 4.545%. 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. Barita Investments'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 = 4.545% + 1 * 6% = 10.545%
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 Mar. 2026, Barita Investments's interest expense (positive number) was JMD1672.269 Mil. Its total Book Value of Debt (D) is JMD18934.939 Mil.
Cost of Debt = 1672.269 / 18934.939 = 8.8317%.
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 = 748.802 / 3960.654 = 18.91%.
Barita Investments'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)
=
0.8123
*
10.545%
+
0.1877
*
8.8317%
*
(1 - 18.91%)
=
9.91%
* 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.
Barita Investments (XJAM:BIL) has a WACC % of 9.91% as of Jul. 09, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Barita Investments and its competitors. This is near median its historical median of 9.23. Over the past decade, Barita Investments' WACC % has ranged from 6.85 to 36.71. According to the industry distribution chart, Barita Investments ranks #455 out of 828 companies in the Capital Markets industry, placing it in the top 55%.
Is Barita Investments' WACC % too high?
Barita Investments' current WACC % of 9.91% is near median its 10-year median of 9.23. Over the past 10 years, this metric has ranged from a low of 6.85 to a high of 36.71. The Capital Markets industry median WACC % is 9.30. Barita Investments' value of 9.91% is 6.6% above this industry median. Based on the distribution chart, Barita Investments ranks #455 out of 828 companies in the Capital Markets industry, which is below the industry midpoint. Overall, Barita Investments has a GF Score™ of 61/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Barita Investments' WACC % compare to MS and GS?
According to the Capital Markets industry distribution chart, Barita Investments ranks #455 out of 828 companies for WACC %. This places Barita Investments in the lower half of its industry. The industry median WACC % is 9.30. Barita Investments' value of 9.91% is 6.6% above this benchmark. Historically, Barita Investments' own WACC % has ranged from 6.85 to 36.71 over the past decade. While the company's 10-year median is 9.23 vs. the industry median of 9.30, Barita Investments 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 Capital Markets company?
The median WACC % among Capital Markets companies is 9.30, based on 828 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. Barita Investments's current WACC % of 9.91% is 6.6% 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 Barita Investments and its competitors. For the Capital Markets industry, the median WACC % is 9.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Barita Investments's current WACC % is 9.91%, which is near median its own 10-year median of 9.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Barita Investments stock overvalued right now?
Based on GuruFocus' analysis, Barita Investments (XJAM:BIL) is currently considered Possible Value Trap. The stock's GF Value™ is JMD17,082.17, compared to a current price of JMD68.29 — trading 99.6% below its estimated fair value. The current WACC % is 9.91%, which is near median its 10-year median of 9.23 and 6.6% above the Capital Markets industry median of 9.30. Barita Investments' overall GF Score™ is 61/100 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 Barita Investments (XJAM:BIL), the current WACC % is 9.91% as of Jul. 09, 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 Barita Investments (XJAM:BIL) Overvalued in 2026?
Based on GuruFocus' analysis, Barita Investments stock appears to be undervalued.
The current stock price of JMD68.29 is trading 99.6% below its estimated GF Value™ of JMD17,082.17.
GuruFocus considers Barita Investments to be Possible Value Trap.
Key valuation signals for XJAM:BIL:
WACC %: 9.91% (near median its 10-year median of 9.23)
GF Value™: JMD17,082.17 vs. price of JMD68.29 (99.6% below fair value)
Industry Position: 6.6% above the Capital Markets median (#455 of 828)
No single metric tells the full story. See the XJAM:BIL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Barita Investments Ltd is a licensed securities dealer, investment manager, pension administrator and cambio operator and has primary dealer status from Bank of Jamaica. The principal activities of company are securities brokerage, money market activities, cambio operations, investment banking, and fund management. Its products are Unit Trust Funds, Barita GPS, FX Income Accumulator, Capital Growth Fund, Money Market Fund, FX Growth Portfolio, FX Bond Portfolio, Real Estate Portfolio, Income Portfolio, Pension Management Fund, Individual Retirement Scheme, Fixed Income, Stocks and Research, etc. The company has three segments Fixed Income, Fund Management, and Other operations. The majority of revenue comes from Fixed Income which includes money market activities and securities broking.
61GF Score
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