Skip to content

LightInTheBox Holding Co., Ltd. American Depositary Shares, each representing twelve ordinary shares (LITB) — WACC Analysis

WACC Breakdown

LightInTheBox Holding Co., Ltd. American Depositary Shares, each representing twelve ordinary shares (LITB) has a weighted average cost of capital (WACC) of 7.1%. The cost of equity is 7.2%, derived from a beta of 0.38 and a risk-free rate of 4.7%. The after-tax cost of debt is 1.9%. The capital structure is 98.9% equity and 1.1% debt.

Interpretation

A WACC of 7.1% suggests that the market views LightInTheBox Holding Co., Ltd. American Depositary Shares, each representing twelve ordinary shares as relatively low-risk, with a lower cost of financing.

Investors can compare LITB's WACC of 7.1% against industry peers to gauge its relative financing costs. A beta of 0.38 reflects the stock's volatility relative to the broader market.

DeepViews
VALUATION

LITB WACC: 7.09% for LightInTheBox Holding Co., Ltd. American Depositary Shares, each representing twelve ordinary shares

Current inputs imply a 7.15% cost of equity and a 2.38% pre-tax cost of debt. Use this discount rate as a starting point for DCF validation.

[01]Current Market Data
Loading market data...
[02]
WACC Calculation Process
1
Market Data Loaded
2
Company Data Fetched
3
Beta Calculated (5Y)
4
Inputs Auto-Populated
5
WACC Calculated
[03]
Step 2: Enter Ticker Symbol
Quick search:
Step 4: Review Auto-Populated WACC Inputs

Values are automatically populated from real data. You can adjust them manually if needed.

4.30%
1.000
4.23%
5.00%
21.00%
70.00%
Debt: 30.00%Equity: 70.00%

Please enter a valid company ticker to calculate WACC

LightInTheBox Holding Co., Ltd. American Depositary Shares, each representing twelve ordinary shares Common Stock (LITB) WACC Results
Weighted Average Cost of Capital
7.09%
Cost of Equity
7.15%
Risk-Free Rate4.67%
Beta0.38
Market Risk Premium4.23%
Cost of Debt
1.88%
Pre-Tax Cost of Debt2.38%
Tax Rate21.00%
Tax Shield0.50%
Capital Structure
Equity: 98.89%($63.91M)
Debt: 1.11%($0.71M)
Equity Component
7.07%
98.89% × 7.15%
Debt Component
0.02%
1.11% × 1.88%

LightInTheBox Holding Co., Ltd. American Depositary Shares, each representing twelve ordinary shares (LITB) WACC in context

LightInTheBox Holding Co., Ltd. American Depositary Shares, each representing twelve ordinary shares (LITB) currently screens with an estimated WACC of 7.09%. That blends a 7.15% cost of equity, a 2.38% pre-tax cost of debt, and a 98.89% equity weight into the discount rate you would typically use in a DCF model.

screens as a relatively low discount rate, which usually supports higher DCF values.

What LITB WACC implies

A 7.09% discount rate screens as a relatively low discount rate, which usually supports higher DCF values.

How this page calculates LITB

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 0.38 and equity accounts for 98.89% of capital.

What to do next

Validate business quality on the company page, then carry the same discount-rate assumptions into the DCF page to test fair value sensitivity.

Disclaimer: This is not financial advice. Data sourced from SEC EDGAR and Polygon.io. Past performance does not guarantee future results. Always conduct your own research before making investment decisions.

LITB WACC: 7.09% — LightInTheBox Holding Co., Ltd. American Depositary Shares, each representing twelve ordinary shares Cost of Capital (August 2026) | DeepViews