FiscalNote Holdings, Inc. (NYSE:NOTE) Capital Efficiency Analysis

FiscalNote Holdings, Inc. (NYSE:NOTE) is a company that provides legal and regulatory data and insights. It helps organizations manage their compliance and policy needs. In the competitive landscape, FiscalNote is compared with peers like Nerdy, Inc., Nogin, Inc., Bullfrog AI Holdings, Inc., CXApp Inc., and T Stamp Inc. These companies operate in various sectors but share the common challenge of capital efficiency.

FiscalNote's Return on Invested Capital (ROIC) is -13.33%, while its Weighted Average Cost of Capital (WACC) is 11.18%. This results in a ROIC to WACC ratio of -1.19. This ratio indicates that FiscalNote is not generating returns above its cost of capital, but it is performing better than most of its peers in this regard.

Among its peers, Nerdy, Inc. has a ROIC of -132.90% and a WACC of 13.20%, leading to a ROIC to WACC ratio of -10.07. Nogin, Inc. shows even more inefficiency with a ROIC of -154.44% against a WACC of 3.91%, resulting in a ratio of -39.52. These figures highlight the significant challenges these companies face in capital utilization.

Bullfrog AI Holdings, Inc. and T Stamp Inc. also struggle with negative ROIC values of -225.70% and -155.28%, respectively. Their WACC figures are 7.58% and 9.82%, leading to ROIC to WACC ratios of -29.78 and -15.81. These metrics underscore the inefficiencies in generating returns above their capital costs.

CXApp Inc. stands out with a ROIC to WACC ratio of -8.15, the highest among the peers, despite still being negative. This suggests that CXApp is the least inefficient in terms of capital utilization relative to its cost. FiscalNote, with a ratio of -1.19, shows relatively better capital efficiency compared to others, except for CXApp.