Julius Baer Gruppe AGXSWX:BAER -0.85%76 WACC % is 11.93% as of Jun. 25, 2026, which is 9% above its 10-year median of 10.98. GuruFocus rates XSWX:BAER with a GF Score™ of 76/100 and a GF Value™ of CHF60.80 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,657 Asset Management companies, Julius Baer Gruppe AG ranks worse than 89.98% on this metric.
As of today (2026-06-25), Julius Baer Gruppe AG's weighted average cost of capital is 11.93%%. Julius Baer Gruppe AG's ROIC % is 0.00% (calculated using TTM income statement data).
Julius Baer Gruppe AG 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.
Julius Baer Gruppe AG (XSWX:BAER) 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, Julius Baer Gruppe AG's weighted average cost of capital is 11.93%%. Julius Baer Gruppe AG's ROIC % is 0.00% (calculated using TTM income statement data).
Julius Baer Gruppe AG 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 semi-annual 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 semi-annual 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.
For the Asset Management subindustry, Julius Baer Gruppe AG'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.
Julius Baer Gruppe AG WACC % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Julius Baer Gruppe AG's WACC % distribution charts can be found below:
* The bar in red indicates where Julius Baer Gruppe AG'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, Julius Baer Gruppe AG's market capitalization (E) is CHF13435.423 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 semi-annual average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together. As of Dec. 2025, Julius Baer Gruppe AG's latest one-year semi-annual average Book Value of Debt (D) is CHF4088.07 Mil.
a) weight of equity = E / (E + D) = 13435.423 / (13435.423 + 4088.07) = 0.7667
b) weight of debt = D / (E + D) = 4088.07 / (13435.423 + 4088.07) = 0.2333
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 0.44%. 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. Julius Baer Gruppe AG's beta is 0.7985.
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 = 0.44% + 0.7985 * 6% = 5.231%
3. Cost of Debt:
GuruFocus uses latest TTM Interest Expense divided by the latest one-year semi-annual average debt to get the simplified cost of debt.
As of Dec. 2025, Julius Baer Gruppe AG's interest expense (positive number) was CHF1703.4 Mil. Its total Book Value of Debt (D) is CHF4088.07 Mil.
Cost of Debt = 1703.4 / 4088.07 = 41.6676%.
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 = 173.8 / 937.6 = 18.54%.
Julius Baer Gruppe AG'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)
=
0.7667
*
5.231%
+
0.2333
*
41.6676%
*
(1 - 18.54%)
=
11.93%
* 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.
Julius Baer Gruppe AG (XSWX:BAER) has a WACC % of 11.93% as of Jun. 25, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Julius Baer Gruppe AG and its competitors. This is near median its historical median of 10.98. Over the past decade, Julius Baer Gruppe AG's WACC % has ranged from 6.41 to 18.02. According to the industry distribution chart, Julius Baer Gruppe AG ranks #1491 out of 1657 companies in the Asset Management industry, placing it in the top 90%.
Is Julius Baer Gruppe AG's WACC % too high?
Julius Baer Gruppe AG's current WACC % of 11.93% is near median its 10-year median of 10.98. Over the past 10 years, this metric has ranged from a low of 6.41 to a high of 18.02. The Asset Management industry median WACC % is 5.74. Julius Baer Gruppe AG's value of 11.93% is 107.8% above this industry median. Based on the distribution chart, Julius Baer Gruppe AG ranks #1491 out of 1657 companies in the Asset Management industry, which is in the bottom quartile relative to peers. Overall, Julius Baer Gruppe AG has a GF Score™ of 76/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Julius Baer Gruppe AG's WACC % compare to BLK and BX?
According to the Asset Management industry distribution chart, Julius Baer Gruppe AG ranks #1491 out of 1657 companies for WACC %. This places Julius Baer Gruppe AG in the lower half of its industry. The industry median WACC % is 5.74. Julius Baer Gruppe AG's value of 11.93% is 107.8% above this benchmark. Historically, Julius Baer Gruppe AG's own WACC % has ranged from 6.41 to 18.02 over the past decade. While the company's 10-year median is 10.98 vs. the industry median of 5.74, Julius Baer Gruppe AG 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 an Asset Management company?
The median WACC % among Asset Management companies is 5.74, based on 1,657 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. Julius Baer Gruppe AG's current WACC % of 11.93% is 107.8% 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 Julius Baer Gruppe AG and its competitors. For the Asset Management industry, the median WACC % is 5.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Julius Baer Gruppe AG's current WACC % is 11.93%, which is near median its own 10-year median of 10.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Julius Baer Gruppe AG stock overvalued right now?
Based on GuruFocus' analysis, Julius Baer Gruppe AG (XSWX:BAER) is currently considered Fairly Valued. The stock's GF Value™ is CHF60.80, compared to a current price of CHF65.54 — trading 7.8% above its estimated fair value. The current WACC % is 11.93%, which is near median its 10-year median of 10.98 and 107.8% above the Asset Management industry median of 5.74. Julius Baer Gruppe AG's overall GF Score™ is 76/100 with 7 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 Julius Baer Gruppe AG (XSWX:BAER), the current WACC % is 11.93% as of Jun. 25, 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 Julius Baer Gruppe AG (XSWX:BAER) Overvalued in 2026?
Based on GuruFocus' analysis, Julius Baer Gruppe AG stock appears to be overvalued.
The current stock price of CHF65.54 is trading 7.8% above its estimated GF Value™ of CHF60.80.
GuruFocus considers Julius Baer Gruppe AG to be Fairly Valued.
Key valuation signals for XSWX:BAER:
WACC %: 11.93% (near median its 10-year median of 10.98)
GF Value™: CHF60.80 vs. price of CHF65.54 (7.8% above fair value)
Industry Position: 107.8% above the Asset Management median (#1491 of 1657)
No single metric tells the full story. See the XSWX:BAER stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Julius Baer was founded in 1890 and expanded significantly in 2005 when it acquired three Swiss private banks and Global Asset Management from its far larger Swiss rival, UBS. In 2009, Baer spun off GAM as a separately listed firm. The acquisition of Merrill Lynch's wealth management operations outside of the US in 2012 increased Baer's assets under management by 40% and increased its footprint outside of Europe. Julius Baer is currently the largest pure-play private bank globally Baer provides private banking services principally to individuals in Switzerland and Europe and increasingly in Asia and other emerging markets.
76GF Score
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