SOBO (South Bow) Effective Interest Rate on Debt %: 5.82% (As of Mar. 2026)


SOBO South Bow Corp SOBO
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What is South Bow Effective Interest Rate on Debt %?

South Bow SOBO -0.69% 15 Effective Interest Rate on Debt % is 5.82% as of Mar. 2026. GuruFocus rates SOBO with a GF Score™ of 15/100. The stock has 13 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. South Bow's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was $336 Mil. South Bow's average total debt for the quarter that ended in Mar. 2026 was $5,771 Mil. Therefore, South Bow's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 5.82%.


South Bow  (NYSE:SOBO) Effective Interest Rate on Debt % Explanation

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


South Bow Effective Interest Rate on Debt % Related Terms


South Bow Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for South Bow'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.

South Bow Effective Interest Rate on Debt % Chart

South Bow Annual Data
Trend Dec23 Dec24 Dec25
Effective Interest Rate on Debt %
3.69 6.63 5.74

South Bow Quarterly Data
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 5.80 5.64 5.83 5.75 5.82

SOBO vs WMB, EPD, KMI: Effective Interest Rate on Debt % Comparison

For the Oil & Gas Midstream subindustry, South Bow'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.


South Bow Effective Interest Rate on Debt % vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, South Bow's Effective Interest Rate on Debt % distribution charts can be found below:

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


SOBO
15GF Score
South Bow Corp SOBO
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
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South Bow Effective Interest Rate on Debt % Calculation

South Bow'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  *  -331/( (5738+5791)/ 2 )
=-1  *  -331/5764.5
=5.74 %

where

South Bow'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  *  -336/( (5791+5751)/ 2 )
=-1  *  -336/5771
=5.82 %

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 5.82% mean?
South Bow (SOBO) has a Effective Interest Rate on Debt % of 5.82% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on South Bow and its competitors.
Is South Bow's Effective Interest Rate on Debt % too high?
South Bow's current Effective Interest Rate on Debt % is 5.82%. Overall, South Bow has a GF Score™ of 15/100, reflecting its overall financial health beyond just this single metric.
How does South Bow's Effective Interest Rate on Debt % compare to WMB and EPD?
South Bow's Effective Interest Rate on Debt % of 5.82% can be compared against companies in the Oil & Gas 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 Oil & Gas company?
A good Effective Interest Rate on Debt % depends on the Oil & Gas 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 South Bow and its competitors. South Bow's current Effective Interest Rate on Debt % is 5.82%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is South Bow stock overvalued right now?
South Bow (SOBO) has a current Effective Interest Rate on Debt % of 5.82%. The current Effective Interest Rate on Debt % is 5.82%. South Bow's overall GF Score™ is 15/100 with 13 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 South Bow (SOBO), the current Effective Interest Rate on Debt % is 5.82% 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.

South Bow Business Description

Industry EnergyOil & Gas
Other Exchanges SOBO:Canada
Address 707, 5 Street SW, Suite 900, Calgary, AB, CAN, T2P 1V8
South Bow Corp is a energy infrastructure company. The company is engaged in constructing pipelines system safely transports liquids like crude oil, across Canadian provinces, U.S. states, and Gulf coasts. It has three reportable segments: Keystone Pipeline System, Marketing, and Intra-Alberta & Other. It derives maximum revenue from Keystone Pipeline System segment. The company's projects and pipelines include: Blackrod connection project; Grand Rapids Pipeline System; Marketlink Pipeline System; Keystone Pipeline System; Port Neches Link; and White Spruce Pipeline System.
15GF Score

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