Laxmi Organic IndustriesBOM:543277 +1.87%80 Interest Coverage is 7.37 as of Mar. 2026, which is 39% below its 10-year median of 12.01. GuruFocus rates BOM:543277 with a GF Score™ of 80/100 and a GF Value™ of ₹255.81 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 1,232 Chemicals companies, Laxmi Organic Industries ranks worse than 69.64% 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. Laxmi Organic Industries's
Operating Income
for the
three
months ended in Mar. 2026 was ₹344 Mil. Laxmi Organic Industries's Interest Expense for the
three
months ended in Mar. 2026 was ₹-47 Mil.
Laxmi Organic Industries's interest coverage for the quarter that ended in Mar. 2026 was 7.37.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Laxmi Organic Industries's Interest Coverage or its related term are showing as below:
BOM:543277'
s Interest Coverage Range Over the Past 10 Years
Min: 4.29 Med: 12.01 Max: 25.77
Current: 4.29
BOM:543277's Interest Coverage is ranked worse than 69.64% of 1232
companies
in the Chemicals industry
Industry Median: 10.13
vs BOM:543277: 4.29
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 .
Laxmi Organic Industries Interest Coverage Related Terms
Laxmi Organic Industries 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:543277 vs LIN, SHW, ECL: Interest Coverage Comparison
For the Specialty Chemicals subindustry, Laxmi Organic Industries'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.
Laxmi Organic Industries Interest Coverage vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Laxmi Organic Industries's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Laxmi Organic Industries'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.
Laxmi Organic Industries (BOM:543277) has a Interest Coverage of 7.37 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Laxmi Organic Industries and its competitors. This is 39% below median its historical median of 12.01. Over the past decade, Laxmi Organic Industries' Interest Coverage has ranged from 4.29 to 25.77. According to the industry distribution chart, Laxmi Organic Industries ranks #858 out of 1232 companies in the Chemicals industry, placing it in the top 69.6%.
Is Laxmi Organic Industries' Interest Coverage too high?
Laxmi Organic Industries' current Interest Coverage of 7.37 is 39% below median its 10-year median of 12.01. Over the past 10 years, this metric has ranged from a low of 4.29 to a high of 25.77. The Chemicals industry median Interest Coverage is 10.13. Laxmi Organic Industries' value of 7.37 is 27.2% below this industry median. Based on the distribution chart, Laxmi Organic Industries ranks #858 out of 1232 companies in the Chemicals industry, which is below the industry midpoint. Overall, Laxmi Organic Industries has a GF Score™ of 80/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Laxmi Organic Industries' Interest Coverage compare to LIN and SHW?
According to the Chemicals industry distribution chart, Laxmi Organic Industries ranks #858 out of 1232 companies for Interest Coverage. This places Laxmi Organic Industries in the lower half of its industry. The industry median Interest Coverage is 10.13. Laxmi Organic Industries' value of 7.37 is 27.2% below this benchmark. Historically, Laxmi Organic Industries' own Interest Coverage has ranged from 4.29 to 25.77 over the past decade. While the company's 10-year median is 12.01 vs. the industry median of 10.13, Laxmi Organic Industries 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 Chemicals company?
The median Interest Coverage among Chemicals companies is 10.13, based on 1,232 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. Laxmi Organic Industries's current Interest Coverage of 7.37 is 27.2% 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 Laxmi Organic Industries and its competitors. For the Chemicals industry, the median Interest Coverage is 10.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Laxmi Organic Industries's current Interest Coverage is 7.37, which is 39% below median its own 10-year median of 12.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Laxmi Organic Industries stock overvalued right now?
Based on GuruFocus' analysis, Laxmi Organic Industries (BOM:543277) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹255.81, compared to a current price of ₹155.45 — trading 39.2% below its estimated fair value. The current Interest Coverage is 7.37, which is 39% below median its 10-year median of 12.01 and 27.2% below the Chemicals industry median of 10.13. Laxmi Organic Industries' overall GF Score™ is 80/100 with 5 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 Laxmi Organic Industries (BOM:543277), the current Interest Coverage is 7.37 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 Laxmi Organic Industries (BOM:543277) Overvalued in 2026?
Based on GuruFocus' analysis, Laxmi Organic Industries stock appears to be undervalued.
The current stock price of ₹155.45 is trading 39.2% below its estimated GF Value™ of ₹255.81.
GuruFocus considers Laxmi Organic Industries to be Significantly Undervalued.
Key valuation signals for BOM:543277:
Interest Coverage: 7.37 (39% below median its 10-year median of 12.01)
GF Value™: ₹255.81 vs. price of ₹155.45 (39.2% below fair value)
Industry Position: 27.2% below the Chemicals median (#858 of 1232)
No single metric tells the full story. See the BOM:543277 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Laxmi Organic Industries Ltd is a specialty chemical manufacturer. Its operating divisions are chemical business and power generation. The company is predominantly engaged in specialty chemical manufacturing focused on two key segments: Acetyl Intermediates and Speciality Intermediates derivative products. Geographically, the company generates a majority of its revenue from India.
80GF Score
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