India Nippon ElectricalsBOM:532240 +5.52%90 Interest Coverage is 114.07 as of Mar. 2026, which is 44% below its 10-year median of 204.86. GuruFocus rates BOM:532240 with a GF Score™ of 90/100 and a GF Value™ of ₹955.87 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 1,068 Vehicles & Parts companies, India Nippon Electricals ranks better than 92.32% 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. India Nippon Electricals's
Operating Income
for the
three
months ended in Mar. 2026 was ₹319 Mil. India Nippon Electricals's Interest Expense for the
three
months ended in Mar. 2026 was ₹-3 Mil.
India Nippon Electricals's interest coverage for the quarter that ended in Mar. 2026 was 114.07.
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. India Nippon Electricals Ltd has enough cash to cover all of its debt. Its financial situation is stable.
The historical rank and industry rank for India Nippon Electricals's Interest Coverage or its related term are showing as below:
BOM:532240'
s Interest Coverage Range Over the Past 10 Years
Min: 75.17 Med: 204.86 Max: 861.91
Current: 193.46
BOM:532240's Interest Coverage is ranked better than 92.32% of 1068
companies
in the Vehicles & Parts industry
Industry Median: 8.335
vs BOM:532240: 193.46
India Nippon Electricals (BOM:532240) 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 .
India Nippon Electricals Interest Coverage Related Terms
India Nippon Electricals 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.
BOM:532240 vs ORLY, AZO: Interest Coverage Comparison
For the Auto Parts subindustry, India Nippon Electricals'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.
India Nippon Electricals Interest Coverage vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, India Nippon Electricals's Interest Coverage distribution charts can be found below:
* The bar in red indicates where India Nippon Electricals's Interest Coverage falls into.
India Nippon Electricals 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:
* 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.
India Nippon Electricals (BOM:532240) has a Interest Coverage of 114.07 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on India Nippon Electricals and its competitors. This is 44% below median its historical median of 204.86. Over the past decade, India Nippon Electricals' Interest Coverage has ranged from 75.17 to 861.91. According to the industry distribution chart, India Nippon Electricals ranks #82 out of 1068 companies in the Vehicles & Parts industry, placing it in the top 7.7%.
Is India Nippon Electricals' Interest Coverage too high?
India Nippon Electricals' current Interest Coverage of 114.07 is 44% below median its 10-year median of 204.86. Over the past 10 years, this metric has ranged from a low of 75.17 to a high of 861.91. The Vehicles & Parts industry median Interest Coverage is 8.34. India Nippon Electricals' value of 114.07 is 1268.6% above this industry median. Based on the distribution chart, India Nippon Electricals ranks #82 out of 1068 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, India Nippon Electricals has a GF Score™ of 90/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does India Nippon Electricals' Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, India Nippon Electricals ranks #82 out of 1068 companies for Interest Coverage. This places India Nippon Electricals in the top 8% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 8.34. India Nippon Electricals' value of 114.07 is 1268.6% above this benchmark. Historically, India Nippon Electricals' own Interest Coverage has ranged from 75.17 to 861.91 over the past decade. While the company's 10-year median is 204.86 vs. the industry median of 8.34, India Nippon Electricals 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.34, based on 1,068 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. India Nippon Electricals's current Interest Coverage of 114.07 is 1268.6% 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 India Nippon Electricals and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. India Nippon Electricals's current Interest Coverage is 114.07, which is 44% below median its own 10-year median of 204.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is India Nippon Electricals stock overvalued right now?
Based on GuruFocus' analysis, India Nippon Electricals (BOM:532240) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹955.87, compared to a current price of ₹1,168.70 — trading 22.3% above its estimated fair value. The current Interest Coverage is 114.07, which is 44% below median its 10-year median of 204.86 and 1268.6% above the Vehicles & Parts industry median of 8.34. India Nippon Electricals' overall GF Score™ is 90/100 with 4 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 India Nippon Electricals (BOM:532240), the current Interest Coverage is 114.07 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 India Nippon Electricals (BOM:532240) Overvalued in 2026?
Based on GuruFocus' analysis, India Nippon Electricals stock appears to be overvalued.
The current stock price of ₹1,168.70 is trading 22.3% above its estimated GF Value™ of ₹955.87.
GuruFocus considers India Nippon Electricals to be Modestly Overvalued.
Key valuation signals for BOM:532240:
Interest Coverage: 114.07 (44% below median its 10-year median of 204.86)
GF Value™: ₹955.87 vs. price of ₹1,168.70 (22.3% above fair value)
Industry Position: 1268.6% above the Vehicles & Parts median (#82 of 1068)
No single metric tells the full story. See the BOM:532240 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
India Nippon Electricals Ltd is an India-based company that engages in the business of manufacturing electronic ignition systems for two-wheelers, three-wheelers, and portable engines. The company offers AC generator products, such as flywheel magneto, stator, rotor products, regulator and rectifier units, ignition coils, exhaust gas recirculation controllers, engine controller units, auto choke-generation purpose engines, dual output ignition products, non-contact and contact type throttle position sensors, and PM alternators. Geographically, it derives a majority of its revenue from India.
90GF Score
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