ALFVF (Alfa Laval AB) Interest Coverage: 20.61 (As of Mar. 2026) — Near Median


ALFVF Alfa Laval AB ALFVF
89 GF Score
Price $58.25
GF Value $49.48
Valuation Modestly Overvalued
! 6 Warning Signs
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What is Alfa Laval AB Interest Coverage?

Alfa Laval AB ALFVF 89 Interest Coverage is 20.61 as of Mar. 2026, which is 1% below its 10-year median of 20.89. GuruFocus rates ALFVF with a GF Score™ of 89/100 and a GF Value™ of $49.48 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 2,329 Industrial Products companies, Alfa Laval AB ranks better than 60.33% 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. Alfa Laval AB's Operating Income for the three months ended in Mar. 2026 was $292 Mil. Alfa Laval AB's Interest Expense for the three months ended in Mar. 2026 was $-14 Mil. Alfa Laval AB's interest coverage for the quarter that ended in Mar. 2026 was 20.61. The higher the ratio, the stronger the company's financial strength is.

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

ALFVF' s Interest Coverage Range Over the Past 10 Years
Min: 12.34   Med: 20.89   Max: 29.52
Current: 24.7


ALFVF's Interest Coverage is ranked better than
60.33% of 2329 companies
in the Industrial Products industry
Industry Median: 14.79 vs ALFVF: 24.70

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


Alfa Laval AB  (OTCPK:ALFVF) 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 .


Alfa Laval AB Interest Coverage Related Terms


Alfa Laval AB Interest Coverage Historical Data

* Premium members only.

The historical data trend for Alfa Laval AB'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.

Alfa Laval AB Interest Coverage Chart

Alfa Laval AB 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 27.88 20.29 18.19 21.10 20.58

Alfa Laval AB 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 43.92 38.34 22.35 23.31 20.61

ALFVF vs GEV, ETN, PH: Interest Coverage Comparison

For the Specialty Industrial Machinery subindustry, Alfa Laval AB'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.


Alfa Laval AB Interest Coverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Alfa Laval AB's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Alfa Laval AB's Interest Coverage falls into.


ALFVF
89GF Score
Alfa Laval AB ALFVF
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Alfa Laval AB 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.

Alfa Laval AB'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, Alfa Laval AB's Interest Expense was $-61 Mil. Its Operating Income was $1,264 Mil. And its Long-Term Debt & Capital Lease Obligation was $1,394 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*1264.432/-61.441
=20.58

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

Here, for the three months ended in Mar. 2026, Alfa Laval AB's Interest Expense was $-14 Mil. Its Operating Income was $292 Mil. And its Long-Term Debt & Capital Lease Obligation was $1,850 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*292.041/-14.167
=20.61

* 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 20.61 mean?
Alfa Laval AB (ALFVF) has a Interest Coverage of 20.61 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Alfa Laval AB and its competitors. This is near median its historical median of 20.89. Over the past decade, Alfa Laval AB's Interest Coverage has ranged from 12.34 to 29.52. According to the industry distribution chart, Alfa Laval AB ranks #924 out of 2329 companies in the Industrial Products industry, placing it in the top 39.7%.
Is Alfa Laval AB's Interest Coverage too high?
Alfa Laval AB's current Interest Coverage of 20.61 is near median its 10-year median of 20.89. Over the past 10 years, this metric has ranged from a low of 12.34 to a high of 29.52. The Industrial Products industry median Interest Coverage is 14.79. Alfa Laval AB's value of 20.61 is 39.4% above this industry median. Based on the distribution chart, Alfa Laval AB ranks #924 out of 2329 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Alfa Laval AB has a GF Score™ of 89/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Alfa Laval AB's Interest Coverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Alfa Laval AB ranks #924 out of 2329 companies for Interest Coverage. This puts Alfa Laval AB in the upper half of its industry. The industry median Interest Coverage is 14.79. Alfa Laval AB's value of 20.61 is 39.4% above this benchmark. Historically, Alfa Laval AB's own Interest Coverage has ranged from 12.34 to 29.52 over the past decade. While the company's 10-year median is 20.89 vs. the industry median of 14.79, Alfa Laval AB 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 an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.79, based on 2,329 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. Alfa Laval AB's current Interest Coverage of 20.61 is 39.4% 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 Alfa Laval AB and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alfa Laval AB's current Interest Coverage is 20.61, which is near median its own 10-year median of 20.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alfa Laval AB stock overvalued right now?
Based on GuruFocus' analysis, Alfa Laval AB (ALFVF) is currently considered Modestly Overvalued. The stock's GF Value™ is $49.48, compared to a current price of $58.25 — trading 17.7% above its estimated fair value. The current Interest Coverage is 20.61, which is near median its 10-year median of 20.89 and 39.4% above the Industrial Products industry median of 14.79. Alfa Laval AB's overall GF Score™ is 89/100 with 6 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 Alfa Laval AB (ALFVF), the current Interest Coverage is 20.61 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 Alfa Laval AB (ALFVF) Overvalued in 2026?

Based on GuruFocus' analysis, Alfa Laval AB stock appears to be overvalued. The current stock price of $58.25 is trading 17.7% above its estimated GF Value™ of $49.48. GuruFocus considers Alfa Laval AB to be Modestly Overvalued.

Key valuation signals for ALFVF:

  • Interest Coverage: 20.61 (near median its 10-year median of 20.89)
  • GF Value™: $49.48 vs. price of $58.25 (17.7% above fair value)
  • GF Score™: 89/100 with 6 warning signs
  • Industry Position: 39.4% above the Industrial Products median (#924 of 2329)

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


Alfa Laval AB Business Description

Address Rudeboksvagen 1, P.O. Box 73, Lund, SWE, SE-221 00
Alfa Laval is a leading manufacturer of highly engineered equipment, primarily in the areas of separation, heat transfer, and fluid handling, used by a diverse range of customers spanning the food, water, energy, and marine industries. These products play a key role in a number of industrial processes, and Alfa Laval enjoys a leading position in all three areas. Alfa Laval's history stretches back 140 years to when its first separator was developed. The company is listed on the Stockholm stock exchange.
89GF Score

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

$58.25
Price
$49.48
GF Value