Atco (ACLLF) Interest Coverage: 2.74 (As of Mar. 2026) — Near Median


ACLLF Atco Ltd ACLLF
73 GF Score
Price $50.54
GF Value $38.23
Valuation Significantly Overvalued
! 13 Warning Signs
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What is Atco Interest Coverage?

Atco ACLLF 73 Interest Coverage is 2.74 as of Mar. 2026, which is 7% below its 10-year median of 2.96. GuruFocus rates ACLLF with a GF Score™ of 73/100 and a GF Value™ of $38.23 (Significantly Overvalued). The stock has 13 warning signs investors should review. Among 449 Utilities - Regulated companies, Atco ranks worse than 85.75% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Atco's Operating Income for the three months ended in Mar. 2026 was $295 Mil. Atco's Interest Expense for the three months ended in Mar. 2026 was $-108 Mil. Atco's interest coverage for the quarter that ended in Mar. 2026 was 2.74. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Atco Ltd interest coverage is 1.69, which is low.

The historical rank and industry rank for Atco's Interest Coverage or its related term are showing as below:

ACLLF' s Interest Coverage Range Over the Past 10 Years
Min: 1.69   Med: 2.96   Max: 3.99
Current: 1.69


ACLLF's Interest Coverage is ranked worse than
85.75% of 449 companies
in the Utilities - Regulated industry
Industry Median: 3.78 vs ACLLF: 1.69

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Atco  (OTCPK:ACLLF) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Atco Interest Coverage Related Terms


Atco Interest Coverage Historical Data

* Premium members only.

The historical data trend for Atco's Interest Coverage 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.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Atco Interest Coverage Chart

Atco Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.04 3.99 3.04 2.70 1.72

Atco Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage 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 2.97 1.95 2.00 0.10 2.74

ACLLF vs SRE, AES: Interest Coverage Comparison

For the Utilities - Diversified subindustry, Atco's Interest Coverage, along with its competitors' market caps and Interest Coverage 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.


Atco Interest Coverage vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Atco's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Atco's Interest Coverage falls into.


ACLLF
73GF Score
Atco Ltd ACLLF
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Atco Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Atco's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Atco's Interest Expense was $-400 Mil. Its Operating Income was $689 Mil. And its Long-Term Debt & Capital Lease Obligation was $9,278 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*688.655/-400.145
=1.72

Atco's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Atco's Interest Expense was $-108 Mil. Its Operating Income was $295 Mil. And its Long-Term Debt & Capital Lease Obligation was $9,155 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*295.19/-107.872
=2.74

* 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.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 2.74 mean?
Atco (ACLLF) has a Interest Coverage of 2.74 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Atco and its competitors. This is near median its historical median of 2.96. Over the past decade, Atco's Interest Coverage has ranged from 1.69 to 3.99. According to the industry distribution chart, Atco ranks #385 out of 449 companies in the Utilities - Regulated industry, placing it in the top 85.7%.
Is Atco's Interest Coverage too high?
Atco's current Interest Coverage of 2.74 is near median its 10-year median of 2.96. Over the past 10 years, this metric has ranged from a low of 1.69 to a high of 3.99. The Utilities - Regulated industry median Interest Coverage is 3.78. Atco's value of 2.74 is 27.5% below this industry median. Based on the distribution chart, Atco ranks #385 out of 449 companies in the Utilities - Regulated industry, which is in the bottom quartile relative to peers. Overall, Atco has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Atco's Interest Coverage compare to SRE and AES?
According to the Utilities - Regulated industry distribution chart, Atco ranks #385 out of 449 companies for Interest Coverage. This places Atco in the lower half of its industry. The industry median Interest Coverage is 3.78. Atco's value of 2.74 is 27.5% below this benchmark. Historically, Atco's own Interest Coverage has ranged from 1.69 to 3.99 over the past decade. While the company's 10-year median is 2.96 vs. the industry median of 3.78, Atco has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for an Utilities - Regulated company?
The median Interest Coverage among Utilities - Regulated companies is 3.78, based on 449 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Atco's current Interest Coverage of 2.74 is 27.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Atco and its competitors. For the Utilities - Regulated industry, the median Interest Coverage is 3.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Atco's current Interest Coverage is 2.74, which is near median its own 10-year median of 2.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Atco stock overvalued right now?
Based on GuruFocus' analysis, Atco (ACLLF) is currently considered Significantly Overvalued. The stock's GF Value™ is $38.23, compared to a current price of $50.54 — trading 32.2% above its estimated fair value. The current Interest Coverage is 2.74, which is near median its 10-year median of 2.96 and 27.5% below the Utilities - Regulated industry median of 3.78. Atco's overall GF Score™ is 73/100 with 13 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Atco (ACLLF), the current Interest Coverage is 2.74 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 Atco (ACLLF) Overvalued in 2026?

Based on GuruFocus' analysis, Atco stock appears to be overvalued. The current stock price of $50.54 is trading 32.2% above its estimated GF Value™ of $38.23. GuruFocus considers Atco to be Significantly Overvalued.

Key valuation signals for ACLLF:

  • Interest Coverage: 2.74 (near median its 10-year median of 2.96)
  • GF Value™: $38.23 vs. price of $50.54 (32.2% above fair value)
  • GF Score™: 73/100 with 13 warning signs
  • Industry Position: 27.5% below the Utilities - Regulated median (#385 of 449)

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


Atco Business Description

Other Exchanges 8A6:GermanyACO.X:Canada
Address 5302 Forand Street SW, 4th Floor, West Building, Calgary, AB, CAN, T3E 8B4
Atco Ltd is a Canada-based diversified company. The company's Structures & Logistics segment offers workforce and residential housing, modular facilities, construction, site support services, workforce lodging services, facility operations and maintenance, defense operations services, and disaster and emergency management services. The Neltume Ports segment includes the equity interest in Neltume Ports S.A., a port operator and developer based in South America. The Retail Energy segment provides electricity and natural gas retail sales and home maintenance solutions. Its Canadian Utilities Limited segment includes ATCO Energy Systems, ATCO EnPower, and ATCO Australia. It generates maximum revenue from the ATCO Energy Systems segment and earns maximum revenue from Canada.
73GF Score

Get the complete analysis for ACLLF

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$50.54
Price
$38.23
GF Value