BorougeADX:BOROUGE -0.40%55 Interest Coverage is 5.97 as of Mar. 2026, which is 39% below its 10-year median of 9.82. GuruFocus rates ADX:BOROUGE with a GF Score™ of 55/100 and a GF Value™ of د.إ6.11 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 1,231 Chemicals companies, Borouge ranks worse than 52.88% 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. Borouge's
Operating Income
for the
three
months ended in Mar. 2026 was د.إ897 Mil. Borouge's Interest Expense for the
three
months ended in Mar. 2026 was د.إ-150 Mil.
Borouge's interest coverage for the quarter that ended in Mar. 2026 was 5.97.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Borouge's Interest Coverage or its related term are showing as below:
ADX:BOROUGE'
s Interest Coverage Range Over the Past 10 Years
Min: 7.24 Med: 9.82 Max: 342.15
Current: 8.94
ADX:BOROUGE's Interest Coverage is ranked worse than 52.88% of 1231
companies
in the Chemicals industry
Industry Median: 10.15
vs ADX:BOROUGE: 8.94
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 .
Borouge Interest Coverage Related Terms
Borouge Interest Coverage Historical Data
* Premium members only.
The historical data trend for Borouge'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.
ADX:BOROUGE vs LIN, SHW, ECL: Interest Coverage Comparison
For the Specialty Chemicals subindustry, Borouge'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.
Borouge Interest Coverage vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Borouge's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Borouge'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.
Borouge (ADX:BOROUGE) has a Interest Coverage of 5.97 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Borouge and its competitors. This is 39% below median its historical median of 9.82. Over the past decade, Borouge's Interest Coverage has ranged from 7.24 to 342.15. According to the industry distribution chart, Borouge ranks #651 out of 1231 companies in the Chemicals industry, placing it in the top 52.9%.
Is Borouge's Interest Coverage too high?
Borouge's current Interest Coverage of 5.97 is 39% below median its 10-year median of 9.82. Over the past 10 years, this metric has ranged from a low of 7.24 to a high of 342.15. The Chemicals industry median Interest Coverage is 10.15. Borouge's value of 5.97 is 41.2% below this industry median. Based on the distribution chart, Borouge ranks #651 out of 1231 companies in the Chemicals industry, which is below the industry midpoint. Overall, Borouge has a GF Score™ of 55/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Borouge's Interest Coverage compare to LIN and SHW?
According to the Chemicals industry distribution chart, Borouge ranks #651 out of 1231 companies for Interest Coverage. This places Borouge in the lower half of its industry. The industry median Interest Coverage is 10.15. Borouge's value of 5.97 is 41.2% below this benchmark. Historically, Borouge's own Interest Coverage has ranged from 7.24 to 342.15 over the past decade. While the company's 10-year median is 9.82 vs. the industry median of 10.15, Borouge 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 a Chemicals company?
The median Interest Coverage among Chemicals companies is 10.15, based on 1,231 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. Borouge's current Interest Coverage of 5.97 is 41.2% 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 Borouge and its competitors. For the Chemicals industry, the median Interest Coverage is 10.15 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Borouge's current Interest Coverage is 5.97, which is 39% below median its own 10-year median of 9.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Borouge stock overvalued right now?
Based on GuruFocus' analysis, Borouge (ADX:BOROUGE) is currently considered Significantly Undervalued. The stock's GF Value™ is د.إ6.11, compared to a current price of د.إ2.49 — trading 59.2% below its estimated fair value. The current Interest Coverage is 5.97, which is 39% below median its 10-year median of 9.82 and 41.2% below the Chemicals industry median of 10.15. Borouge's overall GF Score™ is 55/100 with 2 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 Borouge (ADX:BOROUGE), the current Interest Coverage is 5.97 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 Borouge (ADX:BOROUGE) Overvalued in 2026?
Based on GuruFocus' analysis, Borouge stock appears to be undervalued.
The current stock price of د.إ2.49 is trading 59.2% below its estimated GF Value™ of د.إ6.11.
GuruFocus considers Borouge to be Significantly Undervalued.
Key valuation signals for ADX:BOROUGE:
Interest Coverage: 5.97 (39% below median its 10-year median of 9.82)
GF Value™: د.إ6.11 vs. price of د.إ2.49 (59.2% below fair value)
Industry Position: 41.2% below the Chemicals median (#651 of 1231)
No single metric tells the full story. See the ADX:BOROUGE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Borouge PLC is a petrochemical company that provides solutions of polyolefins such as polyethylene and polypropylene for a wide range of industries such as packaging, infrastructure, energy, mobility, agriculture, and healthcare. Geographically, the company derives maximum revenue from PRC and has a presence in India, United Arab Emirates, Austria, Egypt, Pakistan, Vietnam, Saudi Arabia, and other countries.
55GF Score
Get the complete analysis for ADX:BOROUGE
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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