Baby Bunting GroupASX:BBN +0.70%75 Interest Coverage is 6.92 as of Dec. 2025, which is 49% below its 10-year median of 13.56. GuruFocus rates ASX:BBN with a GF Score™ of 75/100 and a GF Value™ of A$1.93 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 825 Retail - Cyclical companies, Baby Bunting Group ranks worse than 121212% 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. Baby Bunting Group's
Operating Income
for the
six
months ended in Dec. 2025 was A$7.1 Mil. Baby Bunting Group's Interest Expense for the
six
months ended in Dec. 2025 was A$-1.0 Mil.
Baby Bunting Group's interest coverage for the quarter that ended in Dec. 2025 was 6.92.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Baby Bunting Group's Interest Coverage or its related term are showing as below:
ASX:BBN's Interest Coverage is not ranked *
in the Retail - Cyclical industry.
Industry Median: 7.96 * Ranked among companies with meaningful Interest Coverage only.
Baby Bunting Group (ASX:BBN) 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 .
Baby Bunting Group Interest Coverage Related Terms
Baby Bunting Group Interest Coverage Historical Data
* Premium members only.
The historical data trend for Baby Bunting 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:BBN vs CASY, WSM, DKS: Interest Coverage Comparison
For the Specialty Retail subindustry, Baby Bunting 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.
Baby Bunting Group Interest Coverage vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Baby Bunting Group's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Baby Bunting 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.
Baby Bunting Group (ASX:BBN) has a Interest Coverage of 6.92 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Baby Bunting Group and its competitors. This is 49% below median its historical median of 13.56. According to the industry distribution chart, Baby Bunting Group ranks #999999 out of 825 companies in the Retail - Cyclical industry.
Is Baby Bunting Group's Interest Coverage too high?
Baby Bunting Group's current Interest Coverage of 6.92 is 49% below median its 10-year median of 13.56. The Retail - Cyclical industry median Interest Coverage is 7.96. Baby Bunting Group's value of 6.92 is 13.1% below this industry median. Based on the distribution chart, Baby Bunting Group ranks #999999 out of 825 companies in the Retail - Cyclical industry, which is in the bottom quartile relative to peers. Overall, Baby Bunting Group has a GF Score™ of 75/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Baby Bunting Group's Interest Coverage compare to CASY and WSM?
According to the Retail - Cyclical industry distribution chart, Baby Bunting Group ranks #999999 out of 825 companies for Interest Coverage. This places Baby Bunting Group in the lower half of its industry. The industry median Interest Coverage is 7.96. Baby Bunting Group's value of 6.92 is 13.1% below this benchmark. While the company's 10-year median is 13.56 vs. the industry median of 7.96, Baby Bunting 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 a Retail - Cyclical company?
The median Interest Coverage among Retail - Cyclical companies is 7.96, based on 825 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. Baby Bunting Group's current Interest Coverage of 6.92 is 13.1% 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 Baby Bunting Group and its competitors. For the Retail - Cyclical industry, the median Interest Coverage is 7.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Baby Bunting Group's current Interest Coverage is 6.92, which is 49% below median its own 10-year median of 13.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Baby Bunting Group stock overvalued right now?
Based on GuruFocus' analysis, Baby Bunting Group (ASX:BBN) is currently considered Modestly Undervalued. The stock's GF Value™ is A$1.93, compared to a current price of A$1.44 — trading 25.4% below its estimated fair value. The current Interest Coverage is 6.92, which is 49% below median its 10-year median of 13.56 and 13.1% below the Retail - Cyclical industry median of 7.96. Baby Bunting Group's overall GF Score™ is 75/100 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 Baby Bunting Group (ASX:BBN), the current Interest Coverage is 6.92 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 Baby Bunting Group (ASX:BBN) Overvalued in 2026?
Based on GuruFocus' analysis, Baby Bunting Group stock appears to be undervalued.
The current stock price of A$1.44 is trading 25.4% below its estimated GF Value™ of A$1.93.
GuruFocus considers Baby Bunting Group to be Modestly Undervalued.
Key valuation signals for ASX:BBN:
Interest Coverage: 6.92 (49% below median its 10-year median of 13.56)
GF Value™: A$1.93 vs. price of A$1.44 (25.4% below fair value)
Industry Position: 13.1% below the Retail - Cyclical median (#999999 of 825)
No single metric tells the full story. See the ASX:BBN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Baby Bunting Group Ltd operates as a nursery retailer in Australia. The company product categories include prams, cots and nursery furniture, car safety, toys, babywear, feeding, nappies, manchester, and associated accessories. The company also has operations in New Zealand, with a store in Auckland and an online store. Geographically, it derives revenue from Australia and New Zealand.
75GF Score
Get the complete analysis for ASX:BBN
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ASX:BBN has been successfully added to your 
