AUB GroupASX:AUB -0.25%85 Interest Coverage is 2.08 as of Dec. 2025, which is 61% below its 10-year median of 5.32. GuruFocus rates ASX:AUB with a GF Score™ of 85/100 and a GF Value™ of A$49.21 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 351 Insurance companies, AUB Group ranks worse than 89.46% 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. AUB Group's
Operating Income
for the
six
months ended in Dec. 2025 was A$88 Mil. AUB Group's Interest Expense for the
six
months ended in Dec. 2025 was A$-42 Mil.
AUB Group's interest coverage for the quarter that ended in Dec. 2025 was 2.08.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for AUB Group's Interest Coverage or its related term are showing as below:
ASX:AUB'
s Interest Coverage Range Over the Past 10 Years
Min: 1.45 Med: 5.32 Max: 11.26
Current: 2.54
ASX:AUB's Interest Coverage is ranked worse than 89.46% of 351
companies
in the Insurance industry
Industry Median: 16.23
vs ASX:AUB: 2.54
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 .
AUB Group Interest Coverage Related Terms
AUB Group Interest Coverage Historical Data
* Premium members only.
The historical data trend for AUB Group'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:AUB vs MRSH, AON, AJG: Interest Coverage Comparison
For the Insurance Brokers subindustry, AUB 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.
AUB Group Interest Coverage vs Insurance Industry
For the Insurance industry and Financial Services sector, AUB Group's Interest Coverage distribution charts can be found below:
* The bar in red indicates where AUB Group'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.
AUB Group (ASX:AUB) has a Interest Coverage of 2.08 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on AUB Group and its competitors. This is 61% below median its historical median of 5.32. Over the past decade, AUB Group's Interest Coverage has ranged from 1.45 to 11.26. According to the industry distribution chart, AUB Group ranks #314 out of 351 companies in the Insurance industry, placing it in the top 89.5%.
Is AUB Group's Interest Coverage too high?
AUB Group's current Interest Coverage of 2.08 is 61% below median its 10-year median of 5.32. Over the past 10 years, this metric has ranged from a low of 1.45 to a high of 11.26. The Insurance industry median Interest Coverage is 16.23. AUB Group's value of 2.08 is 87.2% below this industry median. Based on the distribution chart, AUB Group ranks #314 out of 351 companies in the Insurance industry, which is in the bottom quartile relative to peers. Overall, AUB Group has a GF Score™ of 85/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does AUB Group's Interest Coverage compare to MRSH and AON?
According to the Insurance industry distribution chart, AUB Group ranks #314 out of 351 companies for Interest Coverage. This places AUB Group in the lower half of its industry. The industry median Interest Coverage is 16.23. AUB Group's value of 2.08 is 87.2% below this benchmark. Historically, AUB Group's own Interest Coverage has ranged from 1.45 to 11.26 over the past decade. While the company's 10-year median is 5.32 vs. the industry median of 16.23, AUB 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 16.23, based on 351 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. AUB Group's current Interest Coverage of 2.08 is 87.2% 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 AUB Group and its competitors. For the Insurance industry, the median Interest Coverage is 16.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AUB Group's current Interest Coverage is 2.08, which is 61% below median its own 10-year median of 5.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AUB Group stock overvalued right now?
Based on GuruFocus' analysis, AUB Group (ASX:AUB) is currently considered Possible Value Trap. The stock's GF Value™ is A$49.21, compared to a current price of A$28.24 — trading 42.6% below its estimated fair value. The current Interest Coverage is 2.08, which is 61% below median its 10-year median of 5.32 and 87.2% below the Insurance industry median of 16.23. AUB Group's overall GF Score™ is 85/100 with 5 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 AUB Group (ASX:AUB), the current Interest Coverage is 2.08 as of Dec. 2025. 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 AUB Group (ASX:AUB) Overvalued in 2026?
Based on GuruFocus' analysis, AUB Group stock appears to be undervalued.
The current stock price of A$28.24 is trading 42.6% below its estimated GF Value™ of A$49.21.
GuruFocus considers AUB Group to be Possible Value Trap.
Key valuation signals for ASX:AUB:
Interest Coverage: 2.08 (61% below median its 10-year median of 5.32)
GF Value™: A$49.21 vs. price of A$28.24 (42.6% below fair value)
Industry Position: 87.2% below the Insurance median (#314 of 351)
No single metric tells the full story. See the ASX:AUB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
AUB Group is the second-largest general insurance broker network in Australia and New Zealand. It has an ownership in brokerage businesses that collectively write over AUD 5 billion in premiums. It also owns equity stakes in 35 underwriting agencies. AUB derives revenue from commissions (from insurers, ultimately paid for by AUB's customers), based on gross written premium from agencies it owns, and a share of profits from associates and joint ventures. GWP is split among personal (3%), small to medium enterprises (70%), and corporates (27%).
85GF Score
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