American Financial GroupAFE 80 Interest Coverage is 11.39 as of Mar. 2026, which is 11% below its 10-year median of 12.76. GuruFocus rates AFE with a GF Score™ of 80/100. The stock has 3 warning signs investors should review. Among 353 Insurance companies, American Financial Group ranks worse than 54.39% 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
EBIT
by its Interest Expense. American Financial Group's
EBIT
for the
three
months ended in Mar. 2026 was $262.00 Mil. American Financial Group's Interest Expense for the
three
months ended in Mar. 2026 was $-23.00 Mil.
American Financial Group's interest coverage for the quarter that ended in Mar. 2026 was 11.39.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for American Financial Group's Interest Coverage or its related term are showing as below:
AFE'
s Interest Coverage Range Over the Past 10 Years
Min: 4.85 Med: 12.76 Max: 15.79
Current: 14.27
AFE's Interest Coverage is ranked worse than 54.39% of 353
companies
in the Insurance industry
Industry Median: 16.26
vs AFE: 14.27
American Financial Group (NYSE:AFE) 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 .
American Financial Group Interest Coverage Related Terms
American Financial Group Interest Coverage Historical Data
* 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.
AFE vs CNA, AIZ, ORI: Interest Coverage Comparison
For the Insurance - Property & Casualty subindustry, American Financial Group'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.
American Financial Group Interest Coverage vs Insurance Industry
For the Insurance industry and Financial Services sector, American Financial Group's Interest Coverage distribution charts can be found below:
* The bar in red indicates where American Financial Group's Interest Coverage falls into.
American Financial Group 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:
* 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.
American Financial Group (AFE) has a Interest Coverage of 11.39 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on American Financial Group and its competitors. This is 11% below median its historical median of 12.76. Over the past decade, American Financial Group's Interest Coverage has ranged from 4.85 to 15.79. According to the industry distribution chart, American Financial Group ranks #192 out of 353 companies in the Insurance industry, placing it in the top 54.4%.
Is American Financial Group's Interest Coverage too high?
American Financial Group's current Interest Coverage of 11.39 is 11% below median its 10-year median of 12.76. Over the past 10 years, this metric has ranged from a low of 4.85 to a high of 15.79. The Insurance industry median Interest Coverage is 16.26. American Financial Group's value of 11.39 is 30% below this industry median. Based on the distribution chart, American Financial Group ranks #192 out of 353 companies in the Insurance industry, which is below the industry midpoint. Overall, American Financial Group has a GF Score™ of 80/100, reflecting its overall financial health beyond just this single metric.
How does American Financial Group's Interest Coverage compare to CNA and AIZ?
According to the Insurance industry distribution chart, American Financial Group ranks #192 out of 353 companies for Interest Coverage. This places American Financial Group in the lower half of its industry. The industry median Interest Coverage is 16.26. American Financial Group's value of 11.39 is 30% below this benchmark. Historically, American Financial Group's own Interest Coverage has ranged from 4.85 to 15.79 over the past decade. While the company's 10-year median is 12.76 vs. the industry median of 16.26, American Financial Group 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 Insurance company?
The median Interest Coverage among Insurance companies is 16.26, based on 353 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. American Financial Group's current Interest Coverage of 11.39 is 30% 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 American Financial Group and its competitors. For the Insurance industry, the median Interest Coverage is 16.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American Financial Group's current Interest Coverage is 11.39, which is 11% below median its own 10-year median of 12.76. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Financial Group stock overvalued right now?
American Financial Group (AFE) has a current Interest Coverage of 11.39. The current Interest Coverage is 11.39, which is 11% below median its 10-year median of 12.76 and 30% below the Insurance industry median of 16.26. American Financial Group's overall GF Score™ is 80/100 with 3 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 American Financial Group (AFE), the current Interest Coverage is 11.39 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.
American Financial Group Inc is an insurance holding company. Through its subsidiaries, it is engaged in the property and casualty insurance business, focusing on specialized commercial products for businesses. The group operates through two segments: Property and Casualty Insurance, which generates maximum revenue, and Other. The Property and Casualty Insurance segment is further divided into different sub-segments, such as Property and transportation, Specialty casualty, and Specialty financial. These sub-segments offer insurance coverage for vehicles and commercial property, customized programs for small to mid-sized businesses, workers' compensation insurance, risk management insurance programs for lending and leasing institutions, trade credit insurance, and other insurance products.
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