Carborundum UniversalBOM:513375 +0.06%92 Interest Coverage is 12.74 as of Mar. 2026, which is 66% below its 10-year median of 37.35. GuruFocus rates BOM:513375 with a GF Score™ of 92/100 and a GF Value™ of ₹1,255.48 (Modestly Undervalued). The stock has 9 warning signs investors should review. Among 426 Conglomerates companies, Carborundum Universal ranks better than 74.18% 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. Carborundum Universal's
Operating Income
for the
three
months ended in Mar. 2026 was ₹796 Mil. Carborundum Universal's Interest Expense for the
three
months ended in Mar. 2026 was ₹-63 Mil.
Carborundum Universal's interest coverage for the quarter that ended in Mar. 2026 was 12.74.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Carborundum Universal's Interest Coverage or its related term are showing as below:
BOM:513375'
s Interest Coverage Range Over the Past 10 Years
Min: 15.8 Med: 37.35 Max: 119.82
Current: 17.7
BOM:513375's Interest Coverage is ranked better than 74.18% of 426
companies
in the Conglomerates industry
Industry Median: 5.335
vs BOM:513375: 17.70
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 .
Carborundum Universal Interest Coverage Related Terms
Carborundum Universal Interest Coverage Historical Data
* Premium members only.
The historical data trend for Carborundum Universal'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:513375 vs HON, MMM: Interest Coverage Comparison
For the Conglomerates subindustry, Carborundum Universal'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.
Carborundum Universal Interest Coverage vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Carborundum Universal's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Carborundum Universal'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.
Carborundum Universal (BOM:513375) has a Interest Coverage of 12.74 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Carborundum Universal and its competitors. This is 66% below median its historical median of 37.35. Over the past decade, Carborundum Universal's Interest Coverage has ranged from 15.80 to 119.82. According to the industry distribution chart, Carborundum Universal ranks #110 out of 426 companies in the Conglomerates industry, placing it in the top 25.8%.
Is Carborundum Universal's Interest Coverage too high?
Carborundum Universal's current Interest Coverage of 12.74 is 66% below median its 10-year median of 37.35. Over the past 10 years, this metric has ranged from a low of 15.80 to a high of 119.82. The Conglomerates industry median Interest Coverage is 5.34. Carborundum Universal's value of 12.74 is 138.8% above this industry median. Based on the distribution chart, Carborundum Universal ranks #110 out of 426 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Carborundum Universal has a GF Score™ of 92/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Carborundum Universal's Interest Coverage compare to HON and MMM?
According to the Conglomerates industry distribution chart, Carborundum Universal ranks #110 out of 426 companies for Interest Coverage. This puts Carborundum Universal in the upper half of its industry. The industry median Interest Coverage is 5.34. Carborundum Universal's value of 12.74 is 138.8% above this benchmark. Historically, Carborundum Universal's own Interest Coverage has ranged from 15.80 to 119.82 over the past decade. While the company's 10-year median is 37.35 vs. the industry median of 5.34, Carborundum Universal has consistently been above 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 Conglomerates company?
The median Interest Coverage among Conglomerates companies is 5.34, based on 426 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. Carborundum Universal's current Interest Coverage of 12.74 is 138.8% above 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 Carborundum Universal and its competitors. For the Conglomerates industry, the median Interest Coverage is 5.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Carborundum Universal's current Interest Coverage is 12.74, which is 66% below median its own 10-year median of 37.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Carborundum Universal stock overvalued right now?
Based on GuruFocus' analysis, Carborundum Universal (BOM:513375) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹1,255.48, compared to a current price of ₹1,090.60 — trading 13.1% below its estimated fair value. The current Interest Coverage is 12.74, which is 66% below median its 10-year median of 37.35 and 138.8% above the Conglomerates industry median of 5.34. Carborundum Universal's overall GF Score™ is 92/100 with 9 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 Carborundum Universal (BOM:513375), the current Interest Coverage is 12.74 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 Carborundum Universal (BOM:513375) Overvalued in 2026?
Based on GuruFocus' analysis, Carborundum Universal stock appears to be undervalued.
The current stock price of ₹1,090.60 is trading 13.1% below its estimated GF Value™ of ₹1,255.48.
GuruFocus considers Carborundum Universal to be Modestly Undervalued.
Key valuation signals for BOM:513375:
Interest Coverage: 12.74 (66% below median its 10-year median of 37.35)
GF Value™: ₹1,255.48 vs. price of ₹1,090.60 (13.1% below fair value)
Industry Position: 138.8% above the Conglomerates median (#110 of 426)
No single metric tells the full story. See the BOM:513375 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Carborundum Universal Ltd is an investment holding company. Along with its subsidiaries, it mainly provides solutions predominantly for industrial manufacturing needs by developing, manufacturing, and marketing products using the properties of materials known as electrominerals. The company's reportable business segments are; Surface engineering (material removal, cutting, polishing) known as Abrasives; Ceramics; Electrominerals; Power; IT services; and others. Maximum revenue is derived from the Abrasives segment which is comprised of bonded, coated, processed cloth, polymers, power tools, and coolants. The company generates maximum revenue through exports and the rest from its business in India.
92GF Score
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