Elgi EquipmentsBOM:522074 -2.55%95 Interest Coverage is 24.46 as of Mar. 2026, which is 55% above its 10-year median of 15.77. GuruFocus rates BOM:522074 with a GF Score™ of 95/100 and a GF Value™ of ₹671.41 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 2,322 Industrial Products companies, Elgi Equipments ranks better than 55.77% 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. Elgi Equipments's
Operating Income
for the
three
months ended in Mar. 2026 was ₹1,492 Mil. Elgi Equipments's Interest Expense for the
three
months ended in Mar. 2026 was ₹-61 Mil.
Elgi Equipments's interest coverage for the quarter that ended in Mar. 2026 was 24.46.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Elgi Equipments's Interest Coverage or its related term are showing as below:
BOM:522074'
s Interest Coverage Range Over the Past 10 Years
Min: 5.1 Med: 15.77 Max: 23.13
Current: 19.42
BOM:522074's Interest Coverage is ranked better than 55.77% of 2322
companies
in the Industrial Products industry
Industry Median: 14.775
vs BOM:522074: 19.42
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 .
Elgi Equipments Interest Coverage Related Terms
Elgi Equipments Interest Coverage Historical Data
* Premium members only.
The historical data trend for Elgi Equipments'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:522074 vs GEV, ETN, PH: Interest Coverage Comparison
For the Specialty Industrial Machinery subindustry, Elgi Equipments'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.
Elgi Equipments Interest Coverage vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Elgi Equipments's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Elgi Equipments'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.
Elgi Equipments (BOM:522074) has a Interest Coverage of 24.46 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Elgi Equipments and its competitors. This is 55% above median its historical median of 15.77. Over the past decade, Elgi Equipments' Interest Coverage has ranged from 5.10 to 23.13. According to the industry distribution chart, Elgi Equipments ranks #1027 out of 2322 companies in the Industrial Products industry, placing it in the top 44.2%.
Is Elgi Equipments' Interest Coverage too high?
Elgi Equipments' current Interest Coverage of 24.46 is 55% above median its 10-year median of 15.77. Over the past 10 years, this metric has ranged from a low of 5.10 to a high of 23.13. The Industrial Products industry median Interest Coverage is 14.78. Elgi Equipments' value of 24.46 is 65.5% above this industry median. Based on the distribution chart, Elgi Equipments ranks #1027 out of 2322 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Elgi Equipments has a GF Score™ of 95/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Elgi Equipments' Interest Coverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Elgi Equipments ranks #1027 out of 2322 companies for Interest Coverage. This puts Elgi Equipments in the upper half of its industry. The industry median Interest Coverage is 14.78. Elgi Equipments' value of 24.46 is 65.5% above this benchmark. Historically, Elgi Equipments' own Interest Coverage has ranged from 5.10 to 23.13 over the past decade. While the company's 10-year median is 15.77 vs. the industry median of 14.78, Elgi Equipments 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 an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.78, based on 2,322 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. Elgi Equipments's current Interest Coverage of 24.46 is 65.5% 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 Elgi Equipments and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elgi Equipments's current Interest Coverage is 24.46, which is 55% above median its own 10-year median of 15.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elgi Equipments stock overvalued right now?
Based on GuruFocus' analysis, Elgi Equipments (BOM:522074) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹671.41, compared to a current price of ₹575.10 — trading 14.3% below its estimated fair value. The current Interest Coverage is 24.46, which is 55% above median its 10-year median of 15.77 and 65.5% above the Industrial Products industry median of 14.78. Elgi Equipments' overall GF Score™ is 95/100 with 3 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 Elgi Equipments (BOM:522074), the current Interest Coverage is 24.46 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 Elgi Equipments (BOM:522074) Overvalued in 2026?
Based on GuruFocus' analysis, Elgi Equipments stock appears to be undervalued.
The current stock price of ₹575.10 is trading 14.3% below its estimated GF Value™ of ₹671.41.
GuruFocus considers Elgi Equipments to be Modestly Undervalued.
Key valuation signals for BOM:522074:
Interest Coverage: 24.46 (55% above median its 10-year median of 15.77)
GF Value™: ₹671.41 vs. price of ₹575.10 (14.3% below fair value)
Industry Position: 65.5% above the Industrial Products median (#1027 of 2322)
No single metric tells the full story. See the BOM:522074 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Elgi Equipments Ltd manufactures air compressors and compressed air systems. The segment in which the group operates includes Air Compressors and Automotive Equipment. Its products include piston compressors, electric lubricated screw compressors, electric oil-free screw compressors, portable compressors, railway compressors, and air accessories. Geographically, it derives a majority of its revenue from India and also has a presence in the United States of America, Italy, Australia, and other countries. It serves the Textile; Manufacturing; Automotive; Agriculture and Construction industries.
95GF Score
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