Hexagon AB (FRA:HXG) Effective Interest Rate on Debt %: 3.71% (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:HXG Hexagon AB FRA:HXG
83 GF Score
Price €7.39
GF Value €6.84
Valuation Fairly Valued
! 5 Warning Signs
View Full Analysis

What is Hexagon AB Effective Interest Rate on Debt %?

Hexagon AB FRA:HXG +4.23% 83 Effective Interest Rate on Debt % is 3.71% as of Mar. 2026. GuruFocus rates FRA:HXG with a GF Score™ of 83/100 and a GF Value™ of €6.84 (Fairly Valued). The stock has 5 warning signs investors should review.

Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. Hexagon AB's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was €137 Mil. Hexagon AB's average total debt for the quarter that ended in Mar. 2026 was €3,684 Mil. Therefore, Hexagon AB's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 3.71%.


Hexagon AB  (FRA:HXG) Effective Interest Rate on Debt % Explanation

Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.


Hexagon AB Effective Interest Rate on Debt % Related Terms


Hexagon AB Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Hexagon AB's Effective Interest Rate on Debt % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Hexagon AB Effective Interest Rate on Debt % Chart

Hexagon AB Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.71 1.05 3.87 4.33 3.45

Hexagon AB Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Effective Interest Rate on Debt % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.63 3.71 3.32 3.25 3.71

FRA:HXG vs COHR, KEYS, GRMN: Effective Interest Rate on Debt % Comparison

For the Scientific & Technical Instruments subindustry, Hexagon AB's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Hexagon AB Effective Interest Rate on Debt % vs Hardware Industry

For the Hardware industry and Technology sector, Hexagon AB's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where Hexagon AB's Effective Interest Rate on Debt % falls into.


FRA:HXG
83GF Score
Hexagon AB FRA:HXG
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hexagon AB Effective Interest Rate on Debt % Calculation

Hexagon AB's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Dec. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Dec. 2024 )+Total Debt  (A: Dec. 2025 ))/ count )
=-1  *  -136.9/( (3831+4114.1)/ 2 )
=-1  *  -136.9/3972.55
=3.45 %

where

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=3100.1 + 730.9
=3831

Total Debt  (A: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2416.4 + 1697.7
=4114.1

Hexagon AB's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Dec. 2025 )+Total Debt  (Q: Mar. 2026 ))/ count )
=-1  *  -136.8/( (4114.1+3254)/ 2 )
=-1  *  -136.8/3684.05
=3.71 %

where

Total Debt  (Q: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2416.4 + 1697.7
=4114.1

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2253.4 + 1000.6
=3254

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data, the Interest Expense data used here is four times the quarterly (Mar. 2026) interest expense data. Effective Interest Rate on Debt % is displayed in the 30-year financial page.

What does a Effective Interest Rate on Debt % of 3.71% mean?
Hexagon AB (FRA:HXG) has a Effective Interest Rate on Debt % of 3.71% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Hexagon AB and its competitors.
Is Hexagon AB's Effective Interest Rate on Debt % too high?
Hexagon AB's current Effective Interest Rate on Debt % is 3.71%. Overall, Hexagon AB has a GF Score™ of 83/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hexagon AB's Effective Interest Rate on Debt % compare to COHR and KEYS?
Hexagon AB's Effective Interest Rate on Debt % of 3.71% can be compared against companies in the Hardware industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Effective Interest Rate on Debt % for a Hardware company?
A good Effective Interest Rate on Debt % depends on the Hardware industry context. However, Effective Interest Rate on Debt % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Effective Interest Rate on Debt % mean?
A high Effective Interest Rate on Debt % can signal that a stock is expensive relative to its fundamentals. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Hexagon AB and its competitors. Hexagon AB's current Effective Interest Rate on Debt % is 3.71%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hexagon AB stock overvalued right now?
Based on GuruFocus' analysis, Hexagon AB (FRA:HXG) is currently considered Fairly Valued. The stock's GF Value™ is €6.84, compared to a current price of €7.39 — trading 8.1% above its estimated fair value. The current Effective Interest Rate on Debt % is 3.71%. Hexagon AB's overall GF Score™ is 83/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Effective Interest Rate on Debt % calculated?
Effective Interest Rate on Debt % is calculated from a company's financial statements. For Hexagon AB (FRA:HXG), the current Effective Interest Rate on Debt % is 3.71% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Hexagon AB (FRA:HXG) Overvalued in 2026?

Based on GuruFocus' analysis, Hexagon AB stock appears to be overvalued. The current stock price of €7.39 is trading 8.1% above its estimated GF Value™ of €6.84. GuruFocus considers Hexagon AB to be Fairly Valued.

Key valuation signals for FRA:HXG:

  • Effective Interest Rate on Debt %: 3.71%
  • GF Value™: €6.84 vs. price of €7.39 (8.1% above fair value)
  • GF Score™: 83/100 with 5 warning signs

No single metric tells the full story. See the FRA:HXG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hexagon AB Business Description

Address Lilla Bantorget 15, Stockholm, SWE, 111 23
Hexagon is the global leader in digital reality solutions, combining hardware such as sensors and measuring devices, software, and services. Customers are mainly in heavy industry, such as oil and gas, mining, construction, manufacturing, chemicals, and agriculture. Major products include measuring technology, mapping tools, and software. Around 40% of revenue is generated in the Americas, 35% in Europe, the Middle East, and Africa, and the rest in Asia.
83GF Score

Get the complete analysis for FRA:HXG

Effective Interest Rate on Debt % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€7.39
Price
€6.84
GF Value