Taylor Morrison Home (FRA:THM) Effective Interest Rate on Debt %: 1.88% (As of Mar. 2026)

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FRA:THM Taylor Morrison Home Corp FRA:THM
85 GF Score
Price €63.00
GF Value €48.55
! 6 Warning Signs
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What is Taylor Morrison Home Effective Interest Rate on Debt %?

Taylor Morrison Home FRA:THM 85 Effective Interest Rate on Debt % is 1.88% as of Mar. 2026. GuruFocus rates FRA:THM with a GF Score™ of 85/100 and a GF Value™ of €48.55. The stock has 6 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. Taylor Morrison Home's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was €39 Mil. Taylor Morrison Home's average total debt for the quarter that ended in Mar. 2026 was €2,053 Mil. Therefore, Taylor Morrison Home's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 1.88%.


Taylor Morrison Home  (FRA:THM) Effective Interest Rate on Debt % Explanation

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


Taylor Morrison Home Effective Interest Rate on Debt % Related Terms


Taylor Morrison Home Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Taylor Morrison Home'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.

Taylor Morrison Home Effective Interest Rate on Debt % Chart

Taylor Morrison Home 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 0.12 0.61 0.00 0.63 1.95

Taylor Morrison Home 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 1.54 2.47 2.28 2.06 1.88

FRA:THM vs IBP, MTH, SKY: Effective Interest Rate on Debt % Comparison

For the Residential Construction subindustry, Taylor Morrison Home'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.


Taylor Morrison Home Effective Interest Rate on Debt % vs Homebuilding & Construction Industry

For the Homebuilding & Construction industry and Consumer Cyclical sector, Taylor Morrison Home's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where Taylor Morrison Home's Effective Interest Rate on Debt % falls into.


FRA:THM
85GF Score
Taylor Morrison Home Corp FRA:THM
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
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Taylor Morrison Home Effective Interest Rate on Debt % Calculation

Taylor Morrison Home'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  *  -40.141/( (2100.504+2017.688)/ 2 )
=-1  *  -40.141/2059.096
=1.95 %

where

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2100.504 + 0
=2100.504

Total Debt  (A: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2017.688 + 0
=2017.688

Taylor Morrison Home'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  *  -38.596/( (2017.688+2088.632)/ 2 )
=-1  *  -38.596/2053.16
=1.88 %

where

Total Debt  (Q: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2017.688 + 0
=2017.688

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2088.632 + 0
=2088.632

* 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 1.88% mean?
Taylor Morrison Home (FRA:THM) has a Effective Interest Rate on Debt % of 1.88% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Taylor Morrison Home and its competitors.
Is Taylor Morrison Home's Effective Interest Rate on Debt % too high?
Taylor Morrison Home's current Effective Interest Rate on Debt % is 1.88%. Overall, Taylor Morrison Home has a GF Score™ of 85/100, reflecting its overall financial health beyond just this single metric.
How does Taylor Morrison Home's Effective Interest Rate on Debt % compare to IBP and MTH?
Taylor Morrison Home's Effective Interest Rate on Debt % of 1.88% can be compared against companies in the Homebuilding & Construction 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 Homebuilding & Construction company?
A good Effective Interest Rate on Debt % depends on the Homebuilding & Construction 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 Taylor Morrison Home and its competitors. Taylor Morrison Home's current Effective Interest Rate on Debt % is 1.88%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Taylor Morrison Home stock overvalued right now?
Taylor Morrison Home (FRA:THM) has a current Effective Interest Rate on Debt % of 1.88%. The stock's GF Value™ is €48.55, compared to a current price of €63.00 — trading 29.8% above its estimated fair value. The current Effective Interest Rate on Debt % is 1.88%. Taylor Morrison Home's overall GF Score™ is 85/100 with 6 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 Taylor Morrison Home (FRA:THM), the current Effective Interest Rate on Debt % is 1.88% 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 Taylor Morrison Home (FRA:THM) Overvalued in 2026?

Based on GuruFocus' analysis, Taylor Morrison Home stock appears to be overvalued. The current stock price of €63.00 is trading 29.8% above its estimated GF Value™ of €48.55.

Key valuation signals for FRA:THM:

  • Effective Interest Rate on Debt %: 1.88%
  • GF Value™: €48.55 vs. price of €63.00 (29.8% above fair value)
  • GF Score™: 85/100 with 6 warning signs

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


Taylor Morrison Home Business Description

Other Exchanges TMHC:USATHM:Germany
Address 4900 N. Scottsdale Road, Suite 2000, Scottsdale, AZ, USA, 85251
Taylor Morrison Home Corp is an American residential construction company engaged in residential homebuilding and the development of lifestyle communities. It designs, builds, and sells single and multi-family detached and attached homes in traditionally high growth markets for entry level, move-up, and resort lifestyle buyers. The company has four reportable segments: East, Central, West, and Financial Services. The majority of the company's revenue is derived from its West Segment.
85GF Score

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

€63.00
Price
€48.55
GF Value