ALSASX:ALQ +0.85%88 Interest Coverage is 10.78 as of Mar. 2026, which is 41% above its 10-year median of 7.62. GuruFocus rates ASX:ALQ with a GF Score™ of 88/100 and a GF Value™ of A$18.96 (Modestly Overvalued). Among 812 Business Services companies, ALS ranks worse than 58% 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. ALS's
Operating Income
for the
six
months ended in Mar. 2026 was A$292 Mil. ALS's Interest Expense for the
six
months ended in Mar. 2026 was A$-27 Mil.
ALS's interest coverage for the quarter that ended in Mar. 2026 was 10.78.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for ALS's Interest Coverage or its related term are showing as below:
ASX:ALQ'
s Interest Coverage Range Over the Past 10 Years
Min: 5.39 Med: 7.62 Max: 10.04
Current: 8.52
ASX:ALQ's Interest Coverage is ranked worse than 58% of 812
companies
in the Business Services industry
Industry Median: 12.98
vs ASX:ALQ: 8.52
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 .
ALS Interest Coverage Related Terms
ALS Interest Coverage Historical Data
* Premium members only.
The historical data trend for ALS'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.
ASX:ALQ vs VRSK, EFX, BAH: Interest Coverage Comparison
For the Consulting Services subindustry, ALS'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.
ALS Interest Coverage vs Business Services Industry
For the Business Services industry and Industrials sector, ALS's Interest Coverage distribution charts can be found below:
* The bar in red indicates where ALS'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.
ALS (ASX:ALQ) has a Interest Coverage of 10.78 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on ALS and its competitors. This is 41% above median its historical median of 7.62. Over the past decade, ALS's Interest Coverage has ranged from 5.39 to 10.04. According to the industry distribution chart, ALS ranks #471 out of 812 companies in the Business Services industry, placing it in the top 58%.
Is ALS's Interest Coverage too high?
ALS's current Interest Coverage of 10.78 is 41% above median its 10-year median of 7.62. Over the past 10 years, this metric has ranged from a low of 5.39 to a high of 10.04. The Business Services industry median Interest Coverage is 12.98. ALS's value of 10.78 is 16.9% below this industry median. Based on the distribution chart, ALS ranks #471 out of 812 companies in the Business Services industry, which is below the industry midpoint. Overall, ALS has a GF Score™ of 88/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ALS's Interest Coverage compare to VRSK and EFX?
According to the Business Services industry distribution chart, ALS ranks #471 out of 812 companies for Interest Coverage. This places ALS in the lower half of its industry. The industry median Interest Coverage is 12.98. ALS's value of 10.78 is 16.9% below this benchmark. Historically, ALS's own Interest Coverage has ranged from 5.39 to 10.04 over the past decade. While the company's 10-year median is 7.62 vs. the industry median of 12.98, ALS 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 Business Services company?
The median Interest Coverage among Business Services companies is 12.98, based on 812 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. ALS's current Interest Coverage of 10.78 is 16.9% 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 ALS and its competitors. For the Business Services industry, the median Interest Coverage is 12.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ALS's current Interest Coverage is 10.78, which is 41% above median its own 10-year median of 7.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ALS stock overvalued right now?
Based on GuruFocus' analysis, ALS (ASX:ALQ) is currently considered Modestly Overvalued. The stock's GF Value™ is A$18.96, compared to a current price of A$22.67 — trading 19.6% above its estimated fair value. The current Interest Coverage is 10.78, which is 41% above median its 10-year median of 7.62 and 16.9% below the Business Services industry median of 12.98. ALS's overall GF Score™ is 88/100. 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 ALS (ASX:ALQ), the current Interest Coverage is 10.78 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 ALS (ASX:ALQ) Overvalued in 2026?
Based on GuruFocus' analysis, ALS stock appears to be overvalued.
The current stock price of A$22.67 is trading 19.6% above its estimated GF Value™ of A$18.96.
GuruFocus considers ALS to be Modestly Overvalued.
Key valuation signals for ASX:ALQ:
Interest Coverage: 10.78 (41% above median its 10-year median of 7.62)
GF Value™: A$18.96 vs. price of A$22.67 (19.6% above fair value)
Industry Position: 16.9% below the Business Services median (#471 of 812)
No single metric tells the full story. See the ASX:ALQ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in the 1880s and listed on the ASX in 1952, ALS operates two divisions: commodities and life sciences. ALS commodities traditionally generated the majority of underlying earnings, providing geochemistry, metallurgy, inspection, and mine site services for the global mining industry. Expansion into environmental, pharmaceutical, and food testing areas has lessened earnings exposure to commodities.
88GF Score
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