MTUAF (MTU Aero Engines AG) Effective Interest Rate on Debt %: 5.81% (As of Dec. 2025)

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MTUAF MTU Aero Engines AG MTUAF
86 GF Score
Price $395.00
GF Value $456.24
Valuation Modestly Undervalued
! 2 Warning Signs
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What is MTU Aero Engines AG Effective Interest Rate on Debt %?

MTU Aero Engines AG MTUAF -0.84% 86 Effective Interest Rate on Debt % is 5.81% as of Dec. 2025. GuruFocus rates MTUAF with a GF Score™ of 86/100 and a GF Value™ of $456.24 (Modestly Undervalued). The stock has 2 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. MTU Aero Engines AG's annualized positive value of Interest Expense for the quarter that ended in Dec. 2025 was $136 Mil. MTU Aero Engines AG's average total debt for the quarter that ended in Dec. 2025 was $2,336 Mil. Therefore, MTU Aero Engines AG's annualized Effective Interest Rate on Debt % for the quarter that ended in Dec. 2025 was 5.81%.


MTU Aero Engines AG  (OTCPK:MTUAF) Effective Interest Rate on Debt % Explanation

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


MTU Aero Engines AG Effective Interest Rate on Debt % Related Terms


MTU Aero Engines AG Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for MTU Aero Engines AG'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.

MTU Aero Engines AG Effective Interest Rate on Debt % Chart

MTU Aero Engines AG 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 3.35 5.97 9.99 5.06 5.42

MTU Aero Engines AG Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 5.95 4.86 5.69 5.20 5.81

MTUAF vs SPCX, GE, RTX: Effective Interest Rate on Debt % Comparison

For the Aerospace & Defense subindustry, MTU Aero Engines AG'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.


MTU Aero Engines AG Effective Interest Rate on Debt % vs Aerospace & Defense Industry

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

* The bar in red indicates where MTU Aero Engines AG's Effective Interest Rate on Debt % falls into.


MTUAF
86GF Score
MTU Aero Engines AG MTUAF
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
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MTU Aero Engines AG Effective Interest Rate on Debt % Calculation

MTU Aero Engines AG'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  *  -132.319/( (2543.455+2336.066)/ 2 )
=-1  *  -132.319/2439.7605
=5.42 %

where

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=1906.806 + 636.649
=2543.455

Total Debt  (A: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2209.602 + 126.464
=2336.066

MTU Aero Engines AG's annualized Effective Interest Rate on Debt % for the quarter that ended in Dec. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Jun. 2025 )+Total Debt  (Q: Dec. 2025 ))/ count )
=-1  *  -135.832/( (2336.793+2336.066)/ 2 )
=-1  *  -135.832/2336.4295
=5.81 %

where

Total Debt  (Q: Jun. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2113.033 + 223.76
=2336.793

Total Debt  (Q: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2209.602 + 126.464
=2336.066

* 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 two times the semi-annual (Dec. 2025) 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 5.81% mean?
MTU Aero Engines AG (MTUAF) has a Effective Interest Rate on Debt % of 5.81% as of Dec. 2025. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on MTU Aero Engines AG and its competitors.
Is MTU Aero Engines AG's Effective Interest Rate on Debt % too high?
MTU Aero Engines AG's current Effective Interest Rate on Debt % is 5.81%. Overall, MTU Aero Engines AG has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does MTU Aero Engines AG's Effective Interest Rate on Debt % compare to SPCX and GE?
MTU Aero Engines AG's Effective Interest Rate on Debt % of 5.81% 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 MTU Aero Engines AG and its competitors. MTU Aero Engines AG's current Effective Interest Rate on Debt % is 5.81%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MTU Aero Engines AG stock overvalued right now?
Based on GuruFocus' analysis, MTU Aero Engines AG (MTUAF) is currently considered Modestly Undervalued. The stock's GF Value™ is $456.24, compared to a current price of $395.00 — trading 13.4% below its estimated fair value. The current Effective Interest Rate on Debt % is 5.81%. MTU Aero Engines AG's overall GF Score™ is 86/100 with 2 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 MTU Aero Engines AG (MTUAF), the current Effective Interest Rate on Debt % is 5.81% as of Dec. 2025. 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 MTU Aero Engines AG (MTUAF) Overvalued in 2026?

Based on GuruFocus' analysis, MTU Aero Engines AG stock appears to be undervalued. The current stock price of $395.00 is trading 13.4% below its estimated GF Value™ of $456.24. GuruFocus considers MTU Aero Engines AG to be Modestly Undervalued.

Key valuation signals for MTUAF:

  • Effective Interest Rate on Debt %: 5.81%
  • GF Value™: $456.24 vs. price of $395.00 (13.4% below fair value)
  • GF Score™: 86/100 with 2 warning signs

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


MTU Aero Engines AG Business Description

Address Dachauer Strasse 665, Munich, BY, DEU, 80995
MTU Aero Engines specializes in the development and production of commercial and military aircraft engine components and spare parts. It also performs maintenance, repair, and overhaul services for aircraft engines. More than 30% of commercial aircraft have MTU technology on board. The company is a major assembler of aircraft engines. The commercial and military engine segment develops and manufactures engine components for new engine production and spare parts for the aftermarket. The commercial maintenance business reports MTU's MRO services.
86GF 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.

$395.00
Price
$456.24
GF Value