MSI (Motorola Solutions) Effective Interest Rate on Debt %: 4.59% (As of Mar. 2026)


MSI Motorola Solutions Inc MSI
94 GF Score
Price $422.88
GF Value $460.07
Valuation Fairly Valued
! 1 Warning Sign
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What is Motorola Solutions Effective Interest Rate on Debt %?

Motorola Solutions MSI +1.36% 94 Effective Interest Rate on Debt % is 4.59% as of Mar. 2026. GuruFocus rates MSI with a GF Score™ of 94/100 and a GF Value™ of $460.07 (Fairly Valued). The stock has 1 warning sign 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. Motorola Solutions's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was $444 Mil. Motorola Solutions's average total debt for the quarter that ended in Mar. 2026 was $9,678 Mil. Therefore, Motorola Solutions's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 4.59%.


Motorola Solutions  (NYSE:MSI) Effective Interest Rate on Debt % Explanation

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


Motorola Solutions Effective Interest Rate on Debt % Related Terms


Motorola Solutions Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Motorola Solutions'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.

Motorola Solutions Effective Interest Rate on Debt % Chart

Motorola Solutions 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 3.63 3.79 3.80 4.50 4.41

Motorola Solutions 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 4.22 3.82 4.51 4.75 4.59

MSI vs CIEN, LITE, HPE: Effective Interest Rate on Debt % Comparison

For the Communication Equipment subindustry, Motorola Solutions'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.


Motorola Solutions Effective Interest Rate on Debt % vs Hardware Industry

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

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


MSI
94GF Score
Motorola Solutions Inc MSI
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
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Motorola Solutions Effective Interest Rate on Debt % Calculation

Motorola Solutions'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  *  -360/( (6551+9766)/ 2 )
=-1  *  -360/8158.5
=4.41 %

where

Motorola Solutions'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  *  -444/( (9766+9589)/ 2 )
=-1  *  -444/9677.5
=4.59 %

where

* 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 4.59% mean?
Motorola Solutions (MSI) has a Effective Interest Rate on Debt % of 4.59% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Motorola Solutions and its competitors.
Is Motorola Solutions' Effective Interest Rate on Debt % too high?
Motorola Solutions' current Effective Interest Rate on Debt % is 4.59%. Overall, Motorola Solutions has a GF Score™ of 94/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Motorola Solutions' Effective Interest Rate on Debt % compare to CIEN and LITE?
Motorola Solutions' Effective Interest Rate on Debt % of 4.59% 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 Motorola Solutions and its competitors. Motorola Solutions's current Effective Interest Rate on Debt % is 4.59%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Motorola Solutions stock overvalued right now?
Based on GuruFocus' analysis, Motorola Solutions (MSI) is currently considered Fairly Valued. The stock's GF Value™ is $460.07, compared to a current price of $422.88 — trading 8.1% below its estimated fair value. The current Effective Interest Rate on Debt % is 4.59%. Motorola Solutions' overall GF Score™ is 94/100 with 1 warning sign 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 Motorola Solutions (MSI), the current Effective Interest Rate on Debt % is 4.59% 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 Motorola Solutions (MSI) Overvalued in 2026?

Based on GuruFocus' analysis, Motorola Solutions stock appears to be undervalued. The current stock price of $422.88 is trading 8.1% below its estimated GF Value™ of $460.07. GuruFocus considers Motorola Solutions to be Fairly Valued.

Key valuation signals for MSI:

  • Effective Interest Rate on Debt %: 4.59%
  • GF Value™: $460.07 vs. price of $422.88 (8.1% below fair value)
  • GF Score™: 94/100 with 1 warning sign

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


Motorola Solutions Business Description

Address 500 West Monroe Street, Suite 4400, Chicago, IL, USA, 60661
Motorola Solutions is a leading provider of communications and analytics, primarily serving public safety departments as well as schools, hospitals, and businesses. The bulk of the firm's revenue comes from sales of land mobile radios and radio network infrastructure, but the firm also sells surveillance equipment, dispatch software, and other networking capabilities. Most of Motorola's revenue comes from government agencies, while roughly 25% comes from schools and private businesses. Motorola has customers in over 100 countries and in every state in the United States.
94GF 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.

$422.88
Price
$460.07
GF Value