Elad Software Systems (XTAE:ELAD) WACC %:9.38% (As of Aug. 01, 2026) — Near Median

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XTAE:ELAD Elad Software Systems XTAE:ELAD
14 GF Score
Price ₪9.98
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What is Elad Software Systems WACC %?

Elad Software Systems XTAE:ELAD -2.50% 14 WACC % is 9.38% as of Aug. 01, 2026, which is 6% below its 10-year median of 9.96. GuruFocus rates XTAE:ELAD with a GF Score™ of 14/100. Among 2,927 Software companies, Elad Software Systems ranks worse than 52.68% on this metric.

As of today (2026-08-01), Elad Software Systems's weighted average cost of capital is 9.38%%. Elad Software Systems's ROIC % is 18.48% (calculated using TTM income statement data). Elad Software Systems 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.

*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.


Elad Software Systems  (XTAE:ELAD) 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, Elad Software Systems's weighted average cost of capital is 9.38%%. Elad Software Systems's ROIC % is 18.48% (calculated using TTM income statement data). Elad Software Systems 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.

*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 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.


Related Terms

Elad Software Systems WACC % Historical Data

* Premium members only.

The historical data trend for Elad Software Systems'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.

Elad Software Systems WACC % Chart

Elad Software Systems Annual Data
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Elad Software Systems Semi-Annual Data
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XTAE:ELAD vs QH, SHOP, UBER: WACC % Comparison

For the Software - Application subindustry, Elad Software Systems'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.


Elad Software Systems WACC % vs Software Industry

For the Software industry and Technology sector, Elad Software Systems's WACC % distribution charts can be found below:

* The bar in red indicates where Elad Software Systems's WACC % falls into.


XTAE:ELAD
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Elad Software Systems XTAE:ELAD
WACC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Elad Software Systems 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/(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, Elad Software Systems's market capitalization (E) is ₪515.403 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, Elad Software Systems's latest one-year semi-annual average Book Value of Debt (D) is ₪59.3007 Mil.
a) weight of equity = E / (E + D) = 515.403 / (515.403 + 59.3007) = 0.8968
b) weight of debt = D / (E + D) = 59.3007 / (515.403 + 59.3007) = 0.1032

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 3.81%. 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. Elad Software Systems'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 = 3.81% + 1 * 6% = 9.81%

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, Elad Software Systems's interest expense (positive number) was ₪4.31 Mil. Its total Book Value of Debt (D) is ₪59.3007 Mil.
Cost of Debt = 4.31 / 59.3007 = 7.268%.

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 = 7.953 / 35.817 = 22.2%.

Elad Software Systems'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)
=0.8968*9.81%+0.1032*7.268%*(1 - 22.2%)
=9.38%

* 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.

Frequently Asked Questions Learn more about WACC % →
What does a WACC % of 9.38% mean?
Elad Software Systems (XTAE:ELAD) has a WACC % of 9.38% as of Aug. 01, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Elad Software Systems and its competitors. This is near median its historical median of 9.96. Over the past decade, Elad Software Systems' WACC % has ranged from 9.39 to 10.18. According to the industry distribution chart, Elad Software Systems ranks #1542 out of 2927 companies in the Software industry, placing it in the top 52.7%.
Is Elad Software Systems' WACC % too high?
Elad Software Systems' current WACC % of 9.38% is near median its 10-year median of 9.96. Over the past 10 years, this metric has ranged from a low of 9.39 to a high of 10.18. The Software industry median WACC % is 9.02. Elad Software Systems' value of 9.38% is 4% above this industry median. Based on the distribution chart, Elad Software Systems ranks #1542 out of 2927 companies in the Software industry, which is below the industry midpoint. Overall, Elad Software Systems has a GF Score™ of 14/100, reflecting its overall financial health beyond just this single metric.
How does Elad Software Systems' WACC % compare to QH and SHOP?
According to the Software industry distribution chart, Elad Software Systems ranks #1542 out of 2927 companies for WACC %. This places Elad Software Systems in the lower half of its industry. The industry median WACC % is 9.02. Elad Software Systems' value of 9.38% is 4% above this benchmark. Historically, Elad Software Systems' own WACC % has ranged from 9.39 to 10.18 over the past decade. While the company's 10-year median is 9.96 vs. the industry median of 9.02, Elad Software Systems 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 Software company?
The median WACC % among Software companies is 9.02, based on 2,927 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. Elad Software Systems's current WACC % of 9.38% is 4% 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 Elad Software Systems and its competitors. For the Software industry, the median WACC % is 9.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elad Software Systems's current WACC % is 9.38%, which is near median its own 10-year median of 9.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elad Software Systems stock overvalued right now?
Elad Software Systems (XTAE:ELAD) has a current WACC % of 9.38%. The current WACC % is 9.38%, which is near median its 10-year median of 9.96 and 4% above the Software industry median of 9.02. Elad Software Systems' overall GF Score™ is 14/100. 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 Elad Software Systems (XTAE:ELAD), the current WACC % is 9.38% as of Aug. 01, 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.

Elad Software Systems Business Description

Address Raul Wallenberg 18 A, building c, 6th floor, Ramat Hay'il P.O. 58175, Tel Aviv, ISR
Elad Software Systems specializes in managing and executing end-to-end projects and offers business solutions for strengthening communication with clients through three different channels: Data, CRM, and Digital. Its Data helps managers overcome complex business challenges by implementing data-based management and control tools using various technologies. Its CRM has long-term relationships with its clients and is a partner in the three multinational platforms: Salesforce, Dynamic 365, and Pega, as well as in the automation and integration company. Elad Digital is Israel's customer engagement company, helping businesses achieve its business needs and strengthen relationships with its clients by offering a range of end-to-end solutions.
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