XOX Technology BhdXKLS:0017 +11.11% WACC % is 3.9% as of Jul. 02, 2026, which is 68% below its 10-year median of 12.04. The stock has 1 warning sign investors should review. Among 374 Telecommunication Services companies, XOX Technology Bhd ranks better than 83.96% on this metric.
As of today (2026-07-02), XOX Technology Bhd's weighted average cost of capital is 3.9%%. XOX Technology Bhd's ROIC % is 20.40% (calculated using TTM income statement data).
XOX Technology Bhd 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.
For a comprehensive WACC calculation, please access the WACC Calculator.
XOX Technology Bhd (XKLS:0017) 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, XOX Technology Bhd's weighted average cost of capital is 3.9%%. XOX Technology Bhd's ROIC % is 20.40% (calculated using TTM income statement data).
XOX Technology Bhd 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 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
XOX Technology Bhd WACC % Historical Data
* Premium members only.
The historical data trend for XOX Technology Bhd'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 Telecom Services subindustry, XOX Technology Bhd'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.
XOX Technology Bhd WACC % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, XOX Technology Bhd's WACC % distribution charts can be found below:
* The bar in red indicates where XOX Technology Bhd'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, XOX Technology Bhd's market capitalization (E) is RM44.681 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, XOX Technology Bhd's latest one-year quarterly average Book Value of Debt (D) is RM2.785 Mil.
a) weight of equity = E / (E + D) = 44.681 / (44.681 + 2.785) = 0.9413
b) weight of debt = D / (E + D) = 2.785 / (44.681 + 2.785) = 0.0587
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 4.485%. 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. XOX Technology Bhd's beta is -0.0983.
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 = 4.485% + -0.0983 * 6% = 3.8952%
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, XOX Technology Bhd's interest expense (positive number) was RM0.237 Mil. Its total Book Value of Debt (D) is RM2.785 Mil.
Cost of Debt = 0.237 / 2.785 = 8.5099%.
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 = 8.11 / 15.288 = 53.05%.
XOX Technology Bhd'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)
=
0.9413
*
3.8952%
+
0.0587
*
8.5099%
*
(1 - 53.05%)
=
3.9%
* 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.
XOX Technology Bhd (XKLS:0017) has a WACC % of 3.9% as of Jul. 02, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on XOX Technology Bhd and its competitors. This is 68% below median its historical median of 12.04. According to the industry distribution chart, XOX Technology Bhd ranks #60 out of 374 companies in the Telecommunication Services industry, placing it in the top 16%.
Is XOX Technology Bhd's WACC % too high?
XOX Technology Bhd's current WACC % of 3.9% is 68% below median its 10-year median of 12.04. The Telecommunication Services industry median WACC % is 7.31. XOX Technology Bhd's value of 3.9% is 46.6% below this industry median. Based on the distribution chart, XOX Technology Bhd ranks #60 out of 374 companies in the Telecommunication Services industry, which is in the top quartile — a strong position relative to peers.
How does XOX Technology Bhd's WACC % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, XOX Technology Bhd ranks #60 out of 374 companies for WACC %. This places XOX Technology Bhd in the top 16% of its industry — outperforming the majority of peers. The industry median WACC % is 7.31. XOX Technology Bhd's value of 3.9% is 46.6% below this benchmark. While the company's 10-year median is 12.04 vs. the industry median of 7.31, XOX Technology Bhd 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 Telecommunication Services company?
The median WACC % among Telecommunication Services companies is 7.31, based on 374 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. XOX Technology Bhd's current WACC % of 3.9% is 46.6% 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 XOX Technology Bhd and its competitors. For the Telecommunication Services industry, the median WACC % is 7.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. XOX Technology Bhd's current WACC % is 3.9%, which is 68% below median its own 10-year median of 12.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is XOX Technology Bhd stock overvalued right now?
Based on GuruFocus' analysis, XOX Technology Bhd (XKLS:0017) is currently considered Significantly Overvalued. The stock's GF Value™ is RM0.03, compared to a current price of RM0.05 — trading 66.7% above its estimated fair value. The current WACC % is 3.9%, which is 68% below median its 10-year median of 12.04 and 46.6% below the Telecommunication Services industry median of 7.31. 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 XOX Technology Bhd (XKLS:0017), the current WACC % is 3.9% as of Jul. 02, 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.
XOX Technology Bhd provides mobile solutions and engages in the trading and distribution of fast-moving electronic goods and related products. The company delivers and settles mobile messaging and data services such as SMS, MMS, and WAP, supporting mobile interoperability and various value-added services. Through its subsidiaries, the Group also offers SaaS-based business solutions. Its principal activities further include research and development, the development of proprietary software, mobile solutions, related hardware and equipment, cloud service solutions, and customised software development to support diverse business needs. The company operates across Malaysia, Pakistan, and the United Arab Emirates, with the majority of its revenue generated in Malaysia.
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