FiscalNote Holdings, Inc. (NYSE:NOTE) and Its Competitive Landscape

• FiscalNote's ROIC is -13.33% and WACC is 10.96%, resulting in a ROIC to WACC ratio of -1.22, indicating it is not generating returns above its cost of capital but is relatively better compared to its peers.
• Among its peers, CXApp Inc. has the highest ROIC to WACC ratio of -8.08, suggesting it has the highest potential for improvement in capital utilization.
• All companies analyzed need to improve their ROIC to surpass their WACC for sustainable growth and value creation, with FiscalNote showing a slight edge in achieving this goal.

FiscalNote Holdings, Inc. (NYSE:NOTE) is a technology company that provides data and insights to help organizations manage their policy and regulatory needs. It operates in a competitive landscape with peers like Nerdy, Inc. (NRDY), Nogin, Inc. (NOGN), Bullfrog AI Holdings, Inc. (BFRG), CXApp Inc. (CXAI), and T Stamp Inc. (IDAI). These companies are evaluated based on their Return on Invested Capital (ROIC) and Weighted Average Cost of Capital (WACC).

FiscalNote's ROIC is -13.33%, while its WACC is 10.96%, resulting in a ROIC to WACC ratio of -1.22. This indicates that FiscalNote is not currently generating returns above its cost of capital. However, compared to its peers, FiscalNote's ratio is relatively better, suggesting it is closer to breaking even on its cost of capital.

Among its peers, Nerdy, Inc. has a ROIC of -132.90% and a WACC of 13.18%, leading to a ROIC to WACC ratio of -10.08. Nogin, Inc. shows a ROIC of -154.44% against a WACC of 3.91%, resulting in a ratio of -39.52. These figures highlight significant inefficiencies in capital utilization compared to FiscalNote.

CXApp Inc. stands out with a ROIC to WACC ratio of -8.08, the highest among the peers, indicating it is the least inefficient in terms of capital utilization. Despite the negative ratios across the board, CXApp shows the highest potential for improvement relative to its cost of capital, suggesting a better position for future growth.

Overall, all companies in this analysis need to improve their ROIC to surpass their WACC for sustainable growth and value creation. FiscalNote, with its relatively better ROIC to WACC ratio, may have a slight edge in achieving this goal compared to its peers.