Aster DM Quality CareBOM:540975 -0.27%80 Interest Coverage is 5.51 as of Mar. 2026, which is 72% above its 10-year median of 3.20. GuruFocus rates BOM:540975 with a GF Score™ of 80/100 and a GF Value™ of ₹659.38 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 453 Healthcare Providers & Services companies, Aster DM Quality Care ranks worse than 62.03% 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. Aster DM Quality Care's
Operating Income
for the
three
months ended in Mar. 2026 was ₹1,653 Mil. Aster DM Quality Care's Interest Expense for the
three
months ended in Mar. 2026 was ₹-300 Mil.
Aster DM Quality Care's interest coverage for the quarter that ended in Mar. 2026 was 5.51.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Aster DM Quality Care's Interest Coverage or its related term are showing as below:
BOM:540975'
s Interest Coverage Range Over the Past 10 Years
Min: 0.87 Med: 3.2 Max: 5.18
Current: 5.18
BOM:540975's Interest Coverage is ranked worse than 62.03% of 453
companies
in the Healthcare Providers & Services industry
Industry Median: 8
vs BOM:540975: 5.18
Aster DM Quality Care (BOM:540975) 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 .
Aster DM Quality Care Interest Coverage Related Terms
Aster DM Quality Care Interest Coverage Historical Data
* Premium members only.
The historical data trend for Aster DM Quality Care'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:540975 vs HCA, THC, DVA: Interest Coverage Comparison
For the Medical Care Facilities subindustry, Aster DM Quality Care'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.
Aster DM Quality Care Interest Coverage vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Aster DM Quality Care's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Aster DM Quality Care's Interest Coverage falls into.
Aster DM Quality Care 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.
Aster DM Quality Care (BOM:540975) has a Interest Coverage of 5.51 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Aster DM Quality Care and its competitors. This is 72% above median its historical median of 3.20. Over the past decade, Aster DM Quality Care's Interest Coverage has ranged from 0.87 to 5.18. According to the industry distribution chart, Aster DM Quality Care ranks #281 out of 453 companies in the Healthcare Providers & Services industry, placing it in the top 62%.
Is Aster DM Quality Care's Interest Coverage too high?
Aster DM Quality Care's current Interest Coverage of 5.51 is 72% above median its 10-year median of 3.20. Over the past 10 years, this metric has ranged from a low of 0.87 to a high of 5.18. The Healthcare Providers & Services industry median Interest Coverage is 8.00. Aster DM Quality Care's value of 5.51 is 31.1% below this industry median. Based on the distribution chart, Aster DM Quality Care ranks #281 out of 453 companies in the Healthcare Providers & Services industry, which is below the industry midpoint. Overall, Aster DM Quality Care has a GF Score™ of 80/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Aster DM Quality Care's Interest Coverage compare to HCA and THC?
According to the Healthcare Providers & Services industry distribution chart, Aster DM Quality Care ranks #281 out of 453 companies for Interest Coverage. This places Aster DM Quality Care in the lower half of its industry. The industry median Interest Coverage is 8.00. Aster DM Quality Care's value of 5.51 is 31.1% below this benchmark. Historically, Aster DM Quality Care's own Interest Coverage has ranged from 0.87 to 5.18 over the past decade. While the company's 10-year median is 3.20 vs. the industry median of 8.00, Aster DM Quality Care has consistently been below 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 Healthcare Providers & Services company?
The median Interest Coverage among Healthcare Providers & Services companies is 8.00, based on 453 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. Aster DM Quality Care's current Interest Coverage of 5.51 is 31.1% below 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 Aster DM Quality Care and its competitors. For the Healthcare Providers & Services industry, the median Interest Coverage is 8.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aster DM Quality Care's current Interest Coverage is 5.51, which is 72% above median its own 10-year median of 3.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aster DM Quality Care stock overvalued right now?
Based on GuruFocus' analysis, Aster DM Quality Care (BOM:540975) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹659.38, compared to a current price of ₹790.55 — trading 19.9% above its estimated fair value. The current Interest Coverage is 5.51, which is 72% above median its 10-year median of 3.20 and 31.1% below the Healthcare Providers & Services industry median of 8.00. Aster DM Quality Care's overall GF Score™ is 80/100 with 7 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 Aster DM Quality Care (BOM:540975), the current Interest Coverage is 5.51 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 Aster DM Quality Care (BOM:540975) Overvalued in 2026?
Based on GuruFocus' analysis, Aster DM Quality Care stock appears to be overvalued.
The current stock price of ₹790.55 is trading 19.9% above its estimated GF Value™ of ₹659.38.
GuruFocus considers Aster DM Quality Care to be Modestly Overvalued.
Key valuation signals for BOM:540975:
Interest Coverage: 5.51 (72% above median its 10-year median of 3.20)
GF Value™: ₹659.38 vs. price of ₹790.55 (19.9% above fair value)
Industry Position: 31.1% below the Healthcare Providers & Services median (#281 of 453)
No single metric tells the full story. See the BOM:540975 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Aster DM Healthcare Ltd is an India-based integrated healthcare provider. The group operates a comprehensive healthcare network comprising approximately 19 hospitals, 10 clinics, over 200 pharmacies, and more than 255 diagnostic laboratories across states. Its business segments include Hospitals, Clinics, Retail Pharmacies, and Others, with the majority of revenue derived from the Hospitals segment. Aster has been delivering high-quality care from primary to quaternary through dedicated personnel across clinical and non-clinical roles. Aster has a presence in metropolitan as well as Tier II and Tier III cities, and is committed to providing advanced and accessible healthcare in line with global standards, guided by a patient-first approach.
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