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. Southern Magnesium & Chemicals's
Operating Income
for the
three
months ended in Mar. 2026 was ₹-0.12 Mil. Southern Magnesium & Chemicals's Interest Expense for the
three
months ended in Mar. 2026 was ₹-0.93 Mil.
did not have earnings to cover the interest expense.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Southern Magnesium & Chemicals's Interest Coverage or its related term are showing as below:
BOM:513498's Interest Coverage is not ranked *
in the Metals & Mining industry.
Industry Median: No Debt * Ranked among companies with meaningful Interest Coverage only.
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 .
Southern Magnesium & Chemicals Interest Coverage Related Terms
Southern Magnesium & Chemicals Interest Coverage Historical Data
* 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.
For the Other Industrial Metals & Mining subindustry, Southern Magnesium & Chemicals'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.
Southern Magnesium & Chemicals Interest Coverage vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Southern Magnesium & Chemicals's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Southern Magnesium & Chemicals'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:
Southern Magnesium & Chemicals did not have earnings to cover the 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 0 (At Loss) mean?
Southern Magnesium & Chemicals (BOM:513498) has a Interest Coverage of 0 (At Loss) as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Southern Magnesium & Chemicals and its competitors. According to the industry distribution chart, Southern Magnesium & Chemicals ranks #999999 out of 1315 companies in the Metals & Mining industry.
Is Southern Magnesium & Chemicals' Interest Coverage too high?
Southern Magnesium & Chemicals' current Interest Coverage is 0 (At Loss). Based on the distribution chart, Southern Magnesium & Chemicals ranks #999999 out of 1315 companies in the Metals & Mining industry, which is in the bottom quartile relative to peers. Overall, Southern Magnesium & Chemicals has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Southern Magnesium & Chemicals' Interest Coverage compare to competitors?
According to the Metals & Mining industry distribution chart, Southern Magnesium & Chemicals ranks #999999 out of 1315 companies for Interest Coverage. This places Southern Magnesium & Chemicals in the lower half of its industry. The industry median Interest Coverage is 10,000.00. 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 Metals & Mining company?
The median Interest Coverage among Metals & Mining companies is 10,000.00, based on 1,315 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 Southern Magnesium & Chemicals and its competitors. For the Metals & Mining industry, the median Interest Coverage is 10,000.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Southern Magnesium & Chemicals's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Southern Magnesium & Chemicals stock overvalued right now?
Based on GuruFocus' analysis, Southern Magnesium & Chemicals (BOM:513498) is currently considered Fairly Valued. The stock's GF Value™ is ₹65.31, compared to a current price of ₹71.70 — trading 9.8% above its estimated fair value. The current Interest Coverage is 0 (At Loss). Southern Magnesium & Chemicals' overall GF Score™ is 72/100 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 Southern Magnesium & Chemicals (BOM:513498), the current Interest Coverage is 0 (At Loss) 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 Southern Magnesium & Chemicals (BOM:513498) Overvalued in 2026?
Based on GuruFocus' analysis, Southern Magnesium & Chemicals stock appears to be overvalued.
The current stock price of ₹71.70 is trading 9.8% above its estimated GF Value™ of ₹65.31.
GuruFocus considers Southern Magnesium & Chemicals to be Fairly Valued.
Key valuation signals for BOM:513498:
Interest Coverage: 0 (At Loss)
GF Value™: ₹65.31 vs. price of ₹71.70 (9.8% above fair value)
No single metric tells the full story. See the BOM:513498 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Southern Magnesium & Chemicals Business Description
Southern Magnesium & Chemicals Ltd is an Indian company engaged in the business of magnesium metal and related goods. The company also produces Magnesium alloy, Turnings, Granules, Powders, and extrusion.
72GF Score
Get the complete analysis for BOM:513498
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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