adidas AGADDDF +2.86%86 Interest Coverage is 10.09 as of Mar. 2026, which is 22% below its 10-year median of 12.88. GuruFocus rates ADDDF with a GF Score™ of 86/100 and a GF Value™ of $239.20 (Modestly Undervalued). Among 743 Manufacturing - Apparel & Accessories companies, adidas AG ranks better than 54.24% 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. adidas AG's
Operating Income
for the
three
months ended in Mar. 2026 was $816 Mil. adidas AG's Interest Expense for the
three
months ended in Mar. 2026 was $-81 Mil.
adidas AG's interest coverage for the quarter that ended in Mar. 2026 was 10.09.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for adidas AG's Interest Coverage or its related term are showing as below:
ADDDF'
s Interest Coverage Range Over the Past 10 Years
Min: 1.74 Med: 12.88 Max: 57.1
Current: 6.69
ADDDF's Interest Coverage is ranked better than 54.24% of 743
companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 5.43
vs ADDDF: 6.69
adidas AG (OTCPK:ADDDF) 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 .
adidas AG Interest Coverage Related Terms
adidas AG Interest Coverage Historical Data
* Premium members only.
The historical data trend for adidas AG'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.
ADDDF vs NKE, DECK, ONON: Interest Coverage Comparison
For the Footwear & Accessories subindustry, adidas AG'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.
adidas AG Interest Coverage vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, adidas AG's Interest Coverage distribution charts can be found below:
* The bar in red indicates where adidas AG's Interest Coverage falls into.
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:
* 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.
adidas AG (ADDDF) has a Interest Coverage of 10.09 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on adidas AG and its competitors. This is 22% below median its historical median of 12.88. Over the past decade, adidas AG's Interest Coverage has ranged from 1.74 to 57.10. According to the industry distribution chart, adidas AG ranks #340 out of 743 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 45.8%.
Is adidas AG's Interest Coverage too high?
adidas AG's current Interest Coverage of 10.09 is 22% below median its 10-year median of 12.88. Over the past 10 years, this metric has ranged from a low of 1.74 to a high of 57.10. The Manufacturing - Apparel & Accessories industry median Interest Coverage is 5.43. adidas AG's value of 10.09 is 85.8% above this industry median. Based on the distribution chart, adidas AG ranks #340 out of 743 companies in the Manufacturing - Apparel & Accessories industry, which is above the industry midpoint. Overall, adidas 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 adidas AG's Interest Coverage compare to NKE and DECK?
According to the Manufacturing - Apparel & Accessories industry distribution chart, adidas AG ranks #340 out of 743 companies for Interest Coverage. This puts adidas AG in the upper half of its industry. The industry median Interest Coverage is 5.43. adidas AG's value of 10.09 is 85.8% above this benchmark. Historically, adidas AG's own Interest Coverage has ranged from 1.74 to 57.10 over the past decade. While the company's 10-year median is 12.88 vs. the industry median of 5.43, adidas AG has consistently been above 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 a Manufacturing - Apparel & Accessories company?
The median Interest Coverage among Manufacturing - Apparel & Accessories companies is 5.43, based on 743 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. adidas AG's current Interest Coverage of 10.09 is 85.8% above 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 adidas AG and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Interest Coverage is 5.43 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. adidas AG's current Interest Coverage is 10.09, which is 22% below median its own 10-year median of 12.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is adidas AG stock overvalued right now?
Based on GuruFocus' analysis, adidas AG (ADDDF) is currently considered Modestly Undervalued. The stock's GF Value™ is $239.20, compared to a current price of $196.88 — trading 17.7% below its estimated fair value. The current Interest Coverage is 10.09, which is 22% below median its 10-year median of 12.88 and 85.8% above the Manufacturing - Apparel & Accessories industry median of 5.43. adidas AG's overall GF Score™ is 86/100. 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 adidas AG (ADDDF), the current Interest Coverage is 10.09 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 adidas AG (ADDDF) Overvalued in 2026?
Based on GuruFocus' analysis, adidas AG stock appears to be undervalued.
The current stock price of $196.88 is trading 17.7% below its estimated GF Value™ of $239.20.
GuruFocus considers adidas AG to be Modestly Undervalued.
Key valuation signals for ADDDF:
Interest Coverage: 10.09 (22% below median its 10-year median of 12.88)
GF Value™: $239.20 vs. price of $196.88 (17.7% below fair value)
Industry Position: 85.8% above the Manufacturing - Apparel & Accessories median (#340 of 743)
No single metric tells the full story. See the ADDDF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Adidas designs, develops, produces, and markets athletic and leisure apparel, footwear, accessories, and sports equipment. Under its eponymous brand, it produces apparel for competitive athletics, casual activewear, and casual fashion. Adidas sells its products in more than 160 countries through about 2,000 owned retail stores, 15,000 Adidas-branded franchise stores (including about 8,000 in China), 150,000 wholesale doors, and an owned e-commerce site that is available in 67 countries. The company was founded in 1949 in Germany.
86GF Score
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