ALKS (Alkermes) Interest Coverage: 0 (At Loss) (As of Mar. 2026)


ALKS Alkermes PLC ALKS
70 GF Score
Price $50.45
GF Value $31.33
Valuation Significantly Overvalued
! 8 Warning Signs
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What is Alkermes Interest Coverage?

Alkermes ALKS 70 Interest Coverage is 0 (At Loss) as of Mar. 2026. GuruFocus rates ALKS with a GF Score™ of 70/100 and a GF Value™ of $31.33 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 685 Drug Manufacturers companies, Alkermes ranks worse than 67.3% 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. Alkermes's Operating Income for the three months ended in Mar. 2026 was $-48 Mil. Alkermes's Interest Expense for the three months ended in Mar. 2026 was $-21 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

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

ALKS' s Interest Coverage Range Over the Past 10 Years
Min: 5.79   Med: 18.31   Max: 20.69
Current: 5.79


ALKS's Interest Coverage is ranked worse than
67.3% of 685 companies
in the Drug Manufacturers industry
Industry Median: 12.78 vs ALKS: 5.79

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


Alkermes  (NAS:ALKS) 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 .


Alkermes Interest Coverage Related Terms


Alkermes Interest Coverage Historical Data

* Premium members only.

The historical data trend for Alkermes'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.

Alkermes Interest Coverage Chart

Alkermes 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 8.71 0.00 17.98 18.63 20.69

Alkermes 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 N/A N/A N/A 4.73 0.00

ALKS vs LNTH, HIMS, LQDA: Interest Coverage Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Alkermes'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.


Alkermes Interest Coverage vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Alkermes's Interest Coverage distribution charts can be found below:

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


ALKS
70GF Score
Alkermes PLC ALKS
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Alkermes 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.

Alkermes'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, Alkermes's Interest Expense was $-12 Mil. Its Operating Income was $254 Mil. And its Long-Term Debt & Capital Lease Obligation was $63 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*253.956/-12.277
=20.69

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

Here, for the three months ended in Mar. 2026, Alkermes's Interest Expense was $-21 Mil. Its Operating Income was $-48 Mil. And its Long-Term Debt & Capital Lease Obligation was $1,548 Mil.

Alkermes did not have earnings to cover the 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.

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 0 (At Loss) mean?
Alkermes (ALKS) has a Interest Coverage of 0 (At Loss) as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Alkermes and its competitors. Over the past decade, Alkermes' Interest Coverage has ranged from 5.79 to 20.69. According to the industry distribution chart, Alkermes ranks #461 out of 685 companies in the Drug Manufacturers industry, placing it in the top 67.3%.
Is Alkermes' Interest Coverage too high?
Alkermes' current Interest Coverage is 0 (At Loss). Over the past 10 years, this metric has ranged from a low of 5.79 to a high of 20.69. Based on the distribution chart, Alkermes ranks #461 out of 685 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Alkermes has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Alkermes' Interest Coverage compare to LNTH and HIMS?
According to the Drug Manufacturers industry distribution chart, Alkermes ranks #461 out of 685 companies for Interest Coverage. This places Alkermes in the lower half of its industry. The industry median Interest Coverage is 12.78. Historically, Alkermes' own Interest Coverage has ranged from 5.79 to 20.69 over the past decade. 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 Drug Manufacturers company?
The median Interest Coverage among Drug Manufacturers companies is 12.78, based on 685 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. 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 Alkermes and its competitors. For the Drug Manufacturers industry, the median Interest Coverage is 12.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alkermes's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alkermes stock overvalued right now?
Based on GuruFocus' analysis, Alkermes (ALKS) is currently considered Significantly Overvalued. The stock's GF Value™ is $31.33, compared to a current price of $50.45 — trading 61% above its estimated fair value. The current Interest Coverage is 0 (At Loss). Alkermes' overall GF Score™ is 70/100 with 8 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 Alkermes (ALKS), the current Interest Coverage is 0 (At Loss) 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 Alkermes (ALKS) Overvalued in 2026?

Based on GuruFocus' analysis, Alkermes stock appears to be overvalued. The current stock price of $50.45 is trading 61% above its estimated GF Value™ of $31.33. GuruFocus considers Alkermes to be Significantly Overvalued.

Key valuation signals for ALKS:

  • Interest Coverage: 0 (At Loss)
  • GF Value™: $31.33 vs. price of $50.45 (61% above fair value)
  • GF Score™: 70/100 with 8 warning signs

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


Alkermes Business Description

Other Exchanges 8AK:Germany
Address 1 Burlington Road, Connaught House, Dublin, IRL, D04 C5Y6
Alkermes PLC is a fully integrated biotechnology company that applies its proprietary technologies to research, develop, and commercialize pharmaceutical products designed for unmet medical needs in therapeutic areas. The company utilizes several to develop and commercialize products and, in so doing, access technological, financial, marketing, manufacturing, and other resources. Alkermes either purchases active drug products from third parties or receives them from its third-party licensees to formulate products using its technologies. It operates in U.S., which derives maximum revenue, Ireland and Rest of the world.
70GF Score

Get the complete analysis for ALKS

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

$50.45
Price
$31.33
GF Value