A magnetic tunnel junction having a compsensation element is disclosed. The magnetic tunnel junction includes a reference element, and a compensation element having an opposite magnetization moment to a magnetization moment of the reference element. A free magnetic layer is between the reference element and the compensation element, and an electrically insulating and non-magnetic tunneling barrier layer separates the free magnetic layer from the reference element. The free magnetic layer includes Co100-X-YFeXBY wherein X is a value being greater than 30 and Y is a value being greater than 15.