Mercury Systems (FRA:MCY) Effective Interest Rate on Debt %: 4.44% (As of Mar. 2026)

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FRA:MCY Mercury Systems Inc FRA:MCY
61 GF Score
Price €93.02
GF Value €38.87
Valuation Significantly Overvalued
! 4 Warning Signs
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What is Mercury Systems Effective Interest Rate on Debt %?

Mercury Systems FRA:MCY +8.24% 61 Effective Interest Rate on Debt % is 4.44% as of Mar. 2026. GuruFocus rates FRA:MCY with a GF Score™ of 61/100 and a GF Value™ of €38.87 (Significantly Overvalued). The stock has 4 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. Mercury Systems's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was €25.4 Mil. Mercury Systems's average total debt for the quarter that ended in Mar. 2026 was €570.9 Mil. Therefore, Mercury Systems's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 4.44%.


Mercury Systems  (FRA:MCY) Effective Interest Rate on Debt % Explanation

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


Mercury Systems Effective Interest Rate on Debt % Related Terms


Mercury Systems Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Mercury Systems'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.

Mercury Systems Effective Interest Rate on Debt % Chart

Mercury Systems Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.71 1.53 4.52 5.70 4.97

Mercury Systems 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 4.90 4.81 4.85 4.76 4.44

FRA:MCY vs KRMN, LOAR, VSEC: Effective Interest Rate on Debt % Comparison

For the Aerospace & Defense subindustry, Mercury Systems'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.


Mercury Systems Effective Interest Rate on Debt % vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Mercury Systems's Effective Interest Rate on Debt % distribution charts can be found below:

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


FRA:MCY
61GF Score
Mercury Systems Inc FRA:MCY
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Mercury Systems Effective Interest Rate on Debt % Calculation

Mercury Systems's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Jun. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Jun. 2024 )+Total Debt  (A: Jun. 2025 ))/ count )
=-1  *  -28.984/( (607.644+558.554)/ 2 )
=-1  *  -28.984/583.099
=4.97 %

where

Total Debt  (A: Jun. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=607.644 + 0
=607.644

Total Debt  (A: Jun. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=558.554 + 0
=558.554

Mercury Systems'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  *  -25.364/( (576.207+565.667)/ 2 )
=-1  *  -25.364/570.937
=4.44 %

where

Total Debt  (Q: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=548.661 + 27.546
=576.207

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=553.464 + 12.203
=565.667

* 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 4.44% mean?
Mercury Systems (FRA:MCY) has a Effective Interest Rate on Debt % of 4.44% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Mercury Systems and its competitors.
Is Mercury Systems' Effective Interest Rate on Debt % too high?
Mercury Systems' current Effective Interest Rate on Debt % is 4.44%. Overall, Mercury Systems has a GF Score™ of 61/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Mercury Systems' Effective Interest Rate on Debt % compare to KRMN and LOAR?
Mercury Systems' Effective Interest Rate on Debt % of 4.44% can be compared against companies in the Aerospace & Defense 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 an Aerospace & Defense company?
A good Effective Interest Rate on Debt % depends on the Aerospace & Defense 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 Mercury Systems and its competitors. Mercury Systems's current Effective Interest Rate on Debt % is 4.44%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mercury Systems stock overvalued right now?
Based on GuruFocus' analysis, Mercury Systems (FRA:MCY) is currently considered Significantly Overvalued. The stock's GF Value™ is €38.87, compared to a current price of €93.02 — trading 139.3% above its estimated fair value. The current Effective Interest Rate on Debt % is 4.44%. Mercury Systems' overall GF Score™ is 61/100 with 4 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 Mercury Systems (FRA:MCY), the current Effective Interest Rate on Debt % is 4.44% 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 Mercury Systems (FRA:MCY) Overvalued in 2026?

Based on GuruFocus' analysis, Mercury Systems stock appears to be overvalued. The current stock price of €93.02 is trading 139.3% above its estimated GF Value™ of €38.87. GuruFocus considers Mercury Systems to be Significantly Overvalued.

Key valuation signals for FRA:MCY:

  • Effective Interest Rate on Debt %: 4.44%
  • GF Value™: €38.87 vs. price of €93.02 (139.3% above fair value)
  • GF Score™: 61/100 with 4 warning signs

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


Mercury Systems Business Description

Other Exchanges MRCY:USAMRCY:Mexico
Address 50 Minuteman Road, Andover, MA, USA, 01810
Mercury Systems Inc is a commercial technology company serving the aerospace and defense industry. The company envisions, creates, and delivers secure open architecture solutions powering a broad range of mission-critical applications in challenging and demanding environments. Its Mercury Processing Platform spans the full breadth of signal processing from radio frequency front end to the human-machine interface to convert meaningful data, gathered in remote and hostile environments, into critical decisions. The company manufactures components, products, modules, and subsystems and sells to defense prime contractors, the U.S. government, original equipment manufacturers, and commercial aerospace companies. Geographically, it derives maximum revenue from the United States.
61GF Score

Get the complete analysis for FRA:MCY

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

€93.02
Price
€38.87
GF Value