Star Cement (NSE:STARCEMENT) Effective Interest Rate on Debt %: 8.57% (As of Mar. 2026)

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NSE:STARCEMENT Star Cement Ltd NSE:STARCEMENT
84 GF Score
Price ₹208.40
GF Value ₹268.81
Valuation Modestly Undervalued
! 1 Warning Sign
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What is Star Cement Effective Interest Rate on Debt %?

Star Cement NSE:STARCEMENT -0.26% 84 Effective Interest Rate on Debt % is 8.57% as of Mar. 2026. GuruFocus rates NSE:STARCEMENT with a GF Score™ of 84/100 and a GF Value™ of ₹268.81 (Modestly Undervalued). 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. Star Cement's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was ₹517 Mil. Star Cement's average total debt for the quarter that ended in Mar. 2026 was ₹6,033 Mil. Therefore, Star Cement's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 8.57%.


Star Cement  (NSE:STARCEMENT) Effective Interest Rate on Debt % Explanation

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


Star Cement Effective Interest Rate on Debt % Related Terms


Star Cement Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Star Cement'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.

Star Cement Effective Interest Rate on Debt % Chart

Star Cement Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 64.24 30.80 11.88 11.51 9.20

Star Cement 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 8.75 10.09 6.88 7.56 8.57

NSE:STARCEMENT vs CRH, VMC, MLM: Effective Interest Rate on Debt % Comparison

For the Building Materials subindustry, Star Cement'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.


Star Cement Effective Interest Rate on Debt % vs Building Materials Industry

For the Building Materials industry and Basic Materials sector, Star Cement's Effective Interest Rate on Debt % distribution charts can be found below:

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


NSE:STARCEMENT
84GF Score
Star Cement Ltd NSE:STARCEMENT
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
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Star Cement Effective Interest Rate on Debt % Calculation

Star Cement's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Mar. 2026 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Mar. 2025 )+Total Debt  (A: Mar. 2026 ))/ count )
=-1  *  -463.045/( (4027.581+6033.232)/ 2 )
=-1  *  -463.045/5030.4065
=9.20 %

where

Total Debt  (A: Mar. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2998.994 + 1028.587
=4027.581

Total Debt  (A: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=5023.053 + 1010.179
=6033.232

Star Cement'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  *  -517.276/( (0+6033.232)/ 1 )
=-1  *  -517.276/6033.232
=8.57 %

where

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=5023.053 + 1010.179
=6033.232

* 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 8.57% mean?
Star Cement (NSE:STARCEMENT) has a Effective Interest Rate on Debt % of 8.57% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Star Cement and its competitors.
Is Star Cement's Effective Interest Rate on Debt % too high?
Star Cement's current Effective Interest Rate on Debt % is 8.57%. Overall, Star Cement has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Star Cement's Effective Interest Rate on Debt % compare to CRH and VMC?
Star Cement's Effective Interest Rate on Debt % of 8.57% can be compared against companies in the Building Materials 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 Building Materials company?
A good Effective Interest Rate on Debt % depends on the Building Materials 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 Star Cement and its competitors. Star Cement's current Effective Interest Rate on Debt % is 8.57%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Star Cement stock overvalued right now?
Based on GuruFocus' analysis, Star Cement (NSE:STARCEMENT) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹268.81, compared to a current price of ₹208.40 — trading 22.5% below its estimated fair value. The current Effective Interest Rate on Debt % is 8.57%. Star Cement's overall GF Score™ is 84/100 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 Star Cement (NSE:STARCEMENT), the current Effective Interest Rate on Debt % is 8.57% 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 Star Cement (NSE:STARCEMENT) Overvalued in 2026?

Based on GuruFocus' analysis, Star Cement stock appears to be undervalued. The current stock price of ₹208.40 is trading 22.5% below its estimated GF Value™ of ₹268.81. GuruFocus considers Star Cement to be Modestly Undervalued.

Key valuation signals for NSE:STARCEMENT:

  • Effective Interest Rate on Debt %: 8.57%
  • GF Value™: ₹268.81 vs. price of ₹208.40 (22.5% below fair value)
  • GF Score™: 84/100 with 1 warning sign

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


Star Cement Business Description

Other Exchanges 540575:India
Address P-15/1, Taratala Main Road, Century House, 2nd Floor, CPT Colony, Kolkata, WB, IND, 700088
Star Cement Ltd is a cement company. It offers Cement and Cement linker products. The group markets clinker to different grinding units in North East India and parts of Eastern India. Its product range comprises ordinary Portland cement, Portland pozzolana cement, and Portland slag cement, among others. The company sells its products in India. Geographically, the company generates the majority of its revenue from India.
84GF Score

Get the complete analysis for NSE:STARCEMENT

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

₹208.40
Price
₹268.81
GF Value