Core Insights - Rafael Holdings, Inc. (RFL) is engaged in the development and commercialization of novel cancer therapies within a competitive biotechnology landscape [1] - The company's Return on Invested Capital (ROIC) is -34.90%, significantly lower than its Weighted Average Cost of Capital (WACC) of 8.08% [2][6] - All companies in the peer group, including RFL, are generating returns below their cost of capital, with Verrica Pharmaceuticals Inc. (VRCA) showing relatively better efficiency [5][6] Financial Metrics Comparison - RFL's ROIC to WACC ratio is -4.32, indicating insufficient returns to cover capital costs [2] - Scholar Rock Holding Corporation (SRRK) has a ROIC of -101.98% and a WACC of 6.91%, resulting in a ROIC to WACC ratio of -14.75, which is less efficient than RFL [3] - Evelo Biosciences, Inc. (EVLO) has the lowest ROIC to WACC ratio at -22.10, with a ROIC of -199.73% against a WACC of 9.04% [3][6] - Verrica Pharmaceuticals Inc. (VRCA) has a ROIC of -65.23% and a WACC of 16.08%, yielding the highest ROIC to WACC ratio among peers at -4.06 [4] - Replimune Group, Inc. (REPL) shows a ROIC of -94.11% and a WACC of 7.63%, resulting in a ROIC to WACC ratio of -12.34 [4]
Rafael Holdings, Inc. (NYSE:RFL) Financial Efficiency Analysis