APC (Arko Petroleum) Interest Coverage: 2.18 (As of Mar. 2026) — 10% Below Median

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APC Arko Petroleum Corp APC
16 GF Score
Price $19.76
! 2 Warning Signs
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What is Arko Petroleum Interest Coverage?

Arko Petroleum APC -0.10% 16 Interest Coverage is 2.18 as of Mar. 2026, which is 10% below its 10-year median of 2.42. GuruFocus rates APC with a GF Score™ of 16/100. The stock has 2 warning signs investors should review. Among 734 Oil & Gas companies, Arko Petroleum ranks worse than 80.11% 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. Arko Petroleum's Operating Income for the three months ended in Mar. 2026 was $20 Mil. Arko Petroleum's Interest Expense for the three months ended in Mar. 2026 was $-9 Mil. Arko Petroleum's interest coverage for the quarter that ended in Mar. 2026 was 2.18. The higher the ratio, the stronger the company's financial strength is.

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

APC' s Interest Coverage Range Over the Past 10 Years
Min: 1.95   Med: 2.42   Max: 6.39
Current: 1.95


APC's Interest Coverage is ranked worse than
80.11% of 734 companies
in the Oil & Gas industry
Industry Median: 6.09 vs APC: 1.95

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


Arko Petroleum  (NAS:APC) 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 .


Arko Petroleum Interest Coverage Related Terms


Arko Petroleum Interest Coverage Historical Data

* Premium members only.

The historical data trend for Arko Petroleum'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.

Arko Petroleum Interest Coverage Chart

Arko Petroleum Annual Data
Trend Dec22 Dec23 Dec24 Dec25
Interest Coverage
6.39 2.55 2.28 1.97

Arko Petroleum Quarterly Data
Dec23 Dec24 Mar25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial 1.95 1.62 N/A 1.76 2.18

APC vs CAPL, CLNE, SGU: Interest Coverage Comparison

For the Oil & Gas Refining & Marketing subindustry, Arko Petroleum'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.


Arko Petroleum Interest Coverage vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Arko Petroleum's Interest Coverage distribution charts can be found below:

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


APC
16GF Score
Arko Petroleum Corp APC
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Arko Petroleum 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.

Arko Petroleum'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, Arko Petroleum's Interest Expense was $-43 Mil. Its Operating Income was $84 Mil. And its Long-Term Debt & Capital Lease Obligation was $911 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*83.931/-42.646
=1.97

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

Here, for the three months ended in Mar. 2026, Arko Petroleum's Interest Expense was $-9 Mil. Its Operating Income was $20 Mil. And its Long-Term Debt & Capital Lease Obligation was $721 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*20.112/-9.236
=2.18

* 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 2.18 mean?
Arko Petroleum (APC) has a Interest Coverage of 2.18 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Arko Petroleum and its competitors. This is 10% below median its historical median of 2.42. Over the past decade, Arko Petroleum's Interest Coverage has ranged from 1.95 to 6.39. According to the industry distribution chart, Arko Petroleum ranks #588 out of 734 companies in the Oil & Gas industry, placing it in the top 80.1%.
Is Arko Petroleum's Interest Coverage too high?
Arko Petroleum's current Interest Coverage of 2.18 is 10% below median its 10-year median of 2.42. Over the past 10 years, this metric has ranged from a low of 1.95 to a high of 6.39. The Oil & Gas industry median Interest Coverage is 6.09. Arko Petroleum's value of 2.18 is 64.2% below this industry median. Based on the distribution chart, Arko Petroleum ranks #588 out of 734 companies in the Oil & Gas industry, which is in the bottom quartile relative to peers. Overall, Arko Petroleum has a GF Score™ of 16/100, reflecting its overall financial health beyond just this single metric.
How does Arko Petroleum's Interest Coverage compare to CAPL and CLNE?
According to the Oil & Gas industry distribution chart, Arko Petroleum ranks #588 out of 734 companies for Interest Coverage. This places Arko Petroleum in the lower half of its industry. The industry median Interest Coverage is 6.09. Arko Petroleum's value of 2.18 is 64.2% below this benchmark. Historically, Arko Petroleum's own Interest Coverage has ranged from 1.95 to 6.39 over the past decade. While the company's 10-year median is 2.42 vs. the industry median of 6.09, Arko Petroleum 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 Oil & Gas company?
The median Interest Coverage among Oil & Gas companies is 6.09, based on 734 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. Arko Petroleum's current Interest Coverage of 2.18 is 64.2% 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 Arko Petroleum and its competitors. For the Oil & Gas industry, the median Interest Coverage is 6.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arko Petroleum's current Interest Coverage is 2.18, which is 10% below median its own 10-year median of 2.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arko Petroleum stock overvalued right now?
Arko Petroleum (APC) has a current Interest Coverage of 2.18. The current Interest Coverage is 2.18, which is 10% below median its 10-year median of 2.42 and 64.2% below the Oil & Gas industry median of 6.09. Arko Petroleum's overall GF Score™ is 16/100 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 Arko Petroleum (APC), the current Interest Coverage is 2.18 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.

Arko Petroleum Business Description

Industry EnergyOil & Gas
Address 8565 Magellan Parkway, Suite 400, Richmond, VA, USA, 23227-1150
Arko Petroleum Corp is a fuel distribution company. It operates through three reportable segments: i) Wholesale: Distributes fuel to gas stations, sub-wholesalers, and bulk purchasers, typically under long-term contracts on a cost-plus or consignment basis. ii) Fleet Fueling: Operates proprietary and third-party cardlock locations serving commercial and municipal fleets, and earns commissions from proprietary fuel card sales. iii) GPMP: Supplies fuel to ARKO Retail Sites at cost plus a fixed margin, charges fixed fees to certain sites. The company generates the majority of revenue from the Wholesale segment.
16GF Score

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