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Hindustan CompositesBOM:509635 -4.14%74 Interest Coverage is No Debt (1) as of Jun. 2026, which is 100% below its 10-year median of 193.56. GuruFocus rates BOM:509635 with a GF Score™ of 74/100 and a GF Value™ of ₹456.20 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,059 Vehicles & Parts companies, Hindustan Composites ranks better than 91.31% 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. Hindustan Composites's
Operating Income
for the
three
months ended in Jun. 2026 was ₹16 Mil. Hindustan Composites's Interest Expense for the
three
months ended in Jun. 2026 was ₹0 Mil.
Hindustan Composites has no debt.
The higher the ratio, the stronger the company's financial strength is.
Good Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Hindustan Composites Ltd has enough cash to cover all of its debt. Its financial situation is stable.
(1) 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.
The historical rank and industry rank for Hindustan Composites's Interest Coverage or its related term are showing as below:
BOM:509635'
s Interest Coverage Range Over the Past 10 Years
Min: 45.64 Med: 193.56 Max: 655.63
Current: 180.47
BOM:509635's Interest Coverage is ranked better than 91.31% of 1059
companies
in the Vehicles & Parts industry
Industry Median: 8.37
vs BOM:509635: 180.47
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 .
Hindustan Composites Interest Coverage Related Terms
Hindustan Composites Interest Coverage Historical Data
* Premium members only.
The historical data trend for Hindustan Composites'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.
BOM:509635 vs ORLY, AZO: Interest Coverage Comparison
For the Auto Parts subindustry, Hindustan Composites'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.
Hindustan Composites Interest Coverage vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Hindustan Composites's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Hindustan Composites'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.
What does a Interest Coverage of No Debt <sup>(1)</sup> mean?
Hindustan Composites (BOM:509635) has a Interest Coverage of No Debt (1) as of Jun. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Hindustan Composites and its competitors. This is 99% below median its historical median of 193.56. Over the past decade, Hindustan Composites' Interest Coverage has ranged from 45.64 to 655.63. According to the industry distribution chart, Hindustan Composites ranks #92 out of 1059 companies in the Vehicles & Parts industry, placing it in the top 8.7%.
Is Hindustan Composites' Interest Coverage too high?
Hindustan Composites' current Interest Coverage of No Debt (1) is 99% below median its 10-year median of 193.56. Over the past 10 years, this metric has ranged from a low of 45.64 to a high of 655.63. Based on the distribution chart, Hindustan Composites ranks #92 out of 1059 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Hindustan Composites has a GF Score™ of 74/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hindustan Composites' Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Hindustan Composites ranks #92 out of 1059 companies for Interest Coverage. This places Hindustan Composites in the top 9% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 8.37. Historically, Hindustan Composites' own Interest Coverage has ranged from 45.64 to 655.63 over the past decade. 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 8.37, 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. 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 Hindustan Composites and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hindustan Composites's current Interest Coverage is No Debt (1), which is 99% below median its own 10-year median of 193.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hindustan Composites stock overvalued right now?
Based on GuruFocus' analysis, Hindustan Composites (BOM:509635) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹456.20, compared to a current price of ₹410.00 — trading 10.1% below its estimated fair value. The current Interest Coverage is No Debt (1), which is 99% below median its 10-year median of 193.56. Hindustan Composites' overall GF Score™ is 74/100 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 Hindustan Composites (BOM:509635), the current Interest Coverage is No Debt (1) as of Jun. 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 Hindustan Composites (BOM:509635) Overvalued in 2026?
Based on GuruFocus' analysis, Hindustan Composites stock appears to be undervalued.
The current stock price of ₹410.00 is trading 10.1% below its estimated GF Value™ of ₹456.20.
GuruFocus considers Hindustan Composites to be Modestly Undervalued.
Key valuation signals for BOM:509635:
Interest Coverage: No Debt (1) (99% below median its 10-year median of 193.56)
GF Value™: ₹456.20 vs. price of ₹410.00 (10.1% below fair value)
No single metric tells the full story. See the BOM:509635 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hindustan Composites Ltd is engaged in the business of manufacturing and marketing fiber-based friction materials. The company serves various industries, such as automotive, railways, engineering, mining, aerospace, steel, chemicals, oil exploration, and others. It offers friction materials such as Brake lining, Roll lining, Clutch facing, Disc Brake Pad, Brake Block, and others. It also offers industrial thrust bearing and insulation products comprising Millboard sheets, Millboard discs, and Competitors. Geographically, the group operates throughout the regions of India and derives revenue through the sale of its products. The group has two segments: Composite products and Investments. Composite product is the key revenue-generating segment.
74GF Score
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