Arrow Electronics (MEX:ARW) Effective Interest Rate on Debt %: 6.99% (As of Mar. 2026)

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MEX:ARW Arrow Electronics Inc MEX:ARW
81 GF Score
Price MXN2,665.00
GF Value MXN1,889.14
! 10 Warning Signs
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What is Arrow Electronics Effective Interest Rate on Debt %?

Arrow Electronics MEX:ARW 81 Effective Interest Rate on Debt % is 6.99% as of Mar. 2026. GuruFocus rates MEX:ARW with a GF Score™ of 81/100 and a GF Value™ of MXN1,889.14. The stock has 10 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. Arrow Electronics's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was MXN3,497 Mil. Arrow Electronics's average total debt for the quarter that ended in Mar. 2026 was MXN50,007 Mil. Therefore, Arrow Electronics's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 6.99%.


Arrow Electronics  (MEX:ARW) Effective Interest Rate on Debt % Explanation

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


Arrow Electronics Effective Interest Rate on Debt % Related Terms


Arrow Electronics Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Arrow Electronics'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.

Arrow Electronics Effective Interest Rate on Debt % Chart

Arrow Electronics 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 5.47 5.68 8.08 8.67 6.42

Arrow Electronics 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 7.46 8.16 7.29 5.58 6.99

MEX:ARW vs AVT, NSIT, SNX: Effective Interest Rate on Debt % Comparison

For the Electronics & Computer Distribution subindustry, Arrow Electronics'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.


Arrow Electronics Effective Interest Rate on Debt % vs Hardware Industry

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

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


MEX:ARW
81GF Score
Arrow Electronics Inc MEX:ARW
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
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Arrow Electronics Effective Interest Rate on Debt % Calculation

Arrow Electronics'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  *  -3873.098/( (65148.222+55548.593)/ 2 )
=-1  *  -3873.098/60348.4075
=6.42 %

where

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=57849.186 + 7299.036
=65148.222

Total Debt  (A: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=55542.453 + 6.14
=55548.593

Arrow Electronics'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  *  -3497.188/( (55548.593+44464.418)/ 2 )
=-1  *  -3497.188/50006.5055
=6.99 %

where

Total Debt  (Q: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=55542.453 + 6.14
=55548.593

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=42420.033 + 2044.385
=44464.418

* 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 6.99% mean?
Arrow Electronics (MEX:ARW) has a Effective Interest Rate on Debt % of 6.99% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Arrow Electronics and its competitors.
Is Arrow Electronics' Effective Interest Rate on Debt % too high?
Arrow Electronics' current Effective Interest Rate on Debt % is 6.99%. Overall, Arrow Electronics has a GF Score™ of 81/100, reflecting its overall financial health beyond just this single metric.
How does Arrow Electronics' Effective Interest Rate on Debt % compare to AVT and NSIT?
Arrow Electronics' Effective Interest Rate on Debt % of 6.99% 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 Arrow Electronics and its competitors. Arrow Electronics's current Effective Interest Rate on Debt % is 6.99%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arrow Electronics stock overvalued right now?
Arrow Electronics (MEX:ARW) has a current Effective Interest Rate on Debt % of 6.99%. The stock's GF Value™ is MXN1,889.14, compared to a current price of MXN2,665.00 — trading 41.1% above its estimated fair value. The current Effective Interest Rate on Debt % is 6.99%. Arrow Electronics' overall GF Score™ is 81/100 with 10 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 Arrow Electronics (MEX:ARW), the current Effective Interest Rate on Debt % is 6.99% 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 Arrow Electronics (MEX:ARW) Overvalued in 2026?

Based on GuruFocus' analysis, Arrow Electronics stock appears to be overvalued. The current stock price of MXN2,665.00 is trading 41.1% above its estimated GF Value™ of MXN1,889.14.

Key valuation signals for MEX:ARW:

  • Effective Interest Rate on Debt %: 6.99%
  • GF Value™: MXN1,889.14 vs. price of MXN2,665.00 (41.1% above fair value)
  • GF Score™: 81/100 with 10 warning signs

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


Arrow Electronics Business Description

Address 9151 East Panorama Circle, Centennial, CO, USA, 80112
Arrow Electronics Inc. is a provider of products, services, and solutions to industrial and commercial users of electronic components and enterprise computing solutions. It has one of the world's broadest portfolios of product offerings available from electronic components and enterprise computing solutions suppliers, coupled with a range of services, solutions, and software, the company helps industrial and commercial customers introduce products, reduce their time to market, and enhance their overall competitiveness. The company has two business segments, the global components business and the global enterprise computing solutions.
81GF Score

Get the complete analysis for MEX:ARW

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

MXN2,665.00
Price
MXN1,889.14
GF Value