ZF Steering Gear (India) (BOM:505163) Interest Coverage: 3.30 (As of Mar. 2026) — 89% Below Median

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BOM:505163 ZF Steering Gear (India) Ltd BOM:505163
64 GF Score
Price ₹668.70
GF Value ₹1,199.93
Valuation Significantly Undervalued
! 1 Warning Sign
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What is ZF Steering Gear (India) Interest Coverage?

ZF Steering Gear (India) BOM:505163 -0.50% 64 Interest Coverage is 3.30 as of Mar. 2026, which is 89% below its 10-year median of 29.77. GuruFocus rates BOM:505163 with a GF Score™ of 64/100 and a GF Value™ of ₹1,199.93 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 1,059 Vehicles & Parts companies, ZF Steering Gear (India) ranks worse than 69.59% 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. ZF Steering Gear (India)'s Operating Income for the three months ended in Mar. 2026 was ₹77 Mil. ZF Steering Gear (India)'s Interest Expense for the three months ended in Mar. 2026 was ₹-23 Mil. ZF Steering Gear (India)'s interest coverage for the quarter that ended in Mar. 2026 was 3.30. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for ZF Steering Gear (India)'s Interest Coverage or its related term are showing as below:

BOM:505163' s Interest Coverage Range Over the Past 10 Years
Min: 2.34   Med: 29.77   Max: 121.67
Current: 3.43


BOM:505163's Interest Coverage is ranked worse than
69.59% of 1059 companies
in the Vehicles & Parts industry
Industry Median: 8.41 vs BOM:505163: 3.43

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


ZF Steering Gear (India)  (BOM:505163) 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 .


ZF Steering Gear (India) Interest Coverage Related Terms


ZF Steering Gear (India) Interest Coverage Historical Data

* Premium members only.

The historical data trend for ZF Steering Gear (India)'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.

ZF Steering Gear (India) Interest Coverage Chart

ZF Steering Gear (India) Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 29.77 49.94 26.63 2.34 4.63

ZF Steering Gear (India) 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 0.86 3.59 0.51 6.06 3.30

BOM:505163 vs ORLY, AZO: Interest Coverage Comparison

For the Auto Parts subindustry, ZF Steering Gear (India)'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.


ZF Steering Gear (India) Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, ZF Steering Gear (India)'s Interest Coverage distribution charts can be found below:

* The bar in red indicates where ZF Steering Gear (India)'s Interest Coverage falls into.


BOM:505163
64GF Score
ZF Steering Gear (India) Ltd BOM:505163
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

ZF Steering Gear (India) 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.

ZF Steering Gear (India)'s Interest Coverage for the fiscal year that ended in Mar. 2026 is calculated as

Here, for the fiscal year that ended in Mar. 2026, ZF Steering Gear (India)'s Interest Expense was ₹-80 Mil. Its Operating Income was ₹368 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹396 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*368.4/-79.5
=4.63

ZF Steering Gear (India)'s Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, ZF Steering Gear (India)'s Interest Expense was ₹-23 Mil. Its Operating Income was ₹77 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹396 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*76.6/-23.2
=3.30

* 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 3.30 mean?
ZF Steering Gear (India) (BOM:505163) has a Interest Coverage of 3.30 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on ZF Steering Gear (India) and its competitors. This is 89% below median its historical median of 29.77. Over the past decade, ZF Steering Gear (India)'s Interest Coverage has ranged from 2.34 to 121.67. According to the industry distribution chart, ZF Steering Gear (India) ranks #737 out of 1059 companies in the Vehicles & Parts industry, placing it in the top 69.6%.
Is ZF Steering Gear (India)'s Interest Coverage too high?
ZF Steering Gear (India)'s current Interest Coverage of 3.30 is 89% below median its 10-year median of 29.77. Over the past 10 years, this metric has ranged from a low of 2.34 to a high of 121.67. The Vehicles & Parts industry median Interest Coverage is 8.41. ZF Steering Gear (India)'s value of 3.30 is 60.8% below this industry median. Based on the distribution chart, ZF Steering Gear (India) ranks #737 out of 1059 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, ZF Steering Gear (India) has a GF Score™ of 64/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does ZF Steering Gear (India)'s Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, ZF Steering Gear (India) ranks #737 out of 1059 companies for Interest Coverage. This places ZF Steering Gear (India) in the lower half of its industry. The industry median Interest Coverage is 8.41. ZF Steering Gear (India)'s value of 3.30 is 60.8% below this benchmark. Historically, ZF Steering Gear (India)'s own Interest Coverage has ranged from 2.34 to 121.67 over the past decade. While the company's 10-year median is 29.77 vs. the industry median of 8.41, ZF Steering Gear (India) 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.41, based on 1,059 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. ZF Steering Gear (India)'s current Interest Coverage of 3.30 is 60.8% 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 ZF Steering Gear (India) and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ZF Steering Gear (India)'s current Interest Coverage is 3.30, which is 89% below median its own 10-year median of 29.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ZF Steering Gear (India) stock overvalued right now?
Based on GuruFocus' analysis, ZF Steering Gear (India) (BOM:505163) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹1,199.93, compared to a current price of ₹668.70 — trading 44.3% below its estimated fair value. The current Interest Coverage is 3.30, which is 89% below median its 10-year median of 29.77 and 60.8% below the Vehicles & Parts industry median of 8.41. ZF Steering Gear (India)'s overall GF Score™ is 64/100 with 1 warning sign 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 ZF Steering Gear (India) (BOM:505163), the current Interest Coverage is 3.30 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 ZF Steering Gear (India) (BOM:505163) Overvalued in 2026?

Based on GuruFocus' analysis, ZF Steering Gear (India) stock appears to be undervalued. The current stock price of ₹668.70 is trading 44.3% below its estimated GF Value™ of ₹1,199.93. GuruFocus considers ZF Steering Gear (India) to be Significantly Undervalued.

Key valuation signals for BOM:505163:

  • Interest Coverage: 3.30 (89% below median its 10-year median of 29.77)
  • GF Value™: ₹1,199.93 vs. price of ₹668.70 (44.3% below fair value)
  • GF Score™: 64/100 with 1 warning sign
  • Industry Position: 60.8% below the Vehicles & Parts median (#737 of 1059)

No single metric tells the full story. See the BOM:505163 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


ZF Steering Gear (India) Business Description

Other Exchanges ZFSTEERING:India
Address Gat No. 1242 and 1244, Village Vadu Budruk, Near Koregaon Bhima, Taluka - Shirur, Pune, MH, IND, 412 216
ZF Steering Gear (India) Ltd produces and assembles steering systems for vehicles, buses, and tractors. The segment in which the group operates includes Auto Component and Renewable Energy. The company's product range includes steering systems, vane pumps, pump pulleys, oil reservoirs, steering and pump mounting brackets, steering columns, intermediate shafts, universal joints, bevel gears boxes, and power steering oil dexron II. ZF Steering operates its business activity through the plant located in Vadu Budruk, Pune. The company generates the majority of its revenue from the Auto component, which is engaged in the manufacturing of auto components.
64GF Score

Get the complete analysis for BOM:505163

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

₹668.70
Price
₹1,199.93
GF Value