Rio Paranapanema Energia (BSP:GEPA4) Interest Coverage: 4.86 (As of Mar. 2026) — 27% Above Median


BSP:GEPA4 Rio Paranapanema Energia SA BSP:GEPA4
48 GF Score
Price R$38.95
GF Value R$2.20
Valuation Significantly Overvalued
! 4 Warning Signs
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What is Rio Paranapanema Energia Interest Coverage?

Rio Paranapanema Energia BSP:GEPA4 48 Interest Coverage is 4.86 as of Mar. 2026, which is 27% above its 10-year median of 3.84. GuruFocus rates BSP:GEPA4 with a GF Score™ of 48/100 and a GF Value™ of R$2.20 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 450 Utilities - Regulated companies, Rio Paranapanema Energia ranks worse than 74.67% 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. Rio Paranapanema Energia's Operating Income for the three months ended in Mar. 2026 was R$221.00 Mil. Rio Paranapanema Energia's Interest Expense for the three months ended in Mar. 2026 was R$-45.47 Mil. Rio Paranapanema Energia's interest coverage for the quarter that ended in Mar. 2026 was 4.86. The higher the ratio, the stronger the company's financial strength is.

(1) 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.

The historical rank and industry rank for Rio Paranapanema Energia's Interest Coverage or its related term are showing as below:

BSP:GEPA4' s Interest Coverage Range Over the Past 10 Years
Min: 2.05   Med: 3.84   Max: No Debt
Current: 2.25


BSP:GEPA4's Interest Coverage is ranked worse than
74.67% of 450 companies
in the Utilities - Regulated industry
Industry Median: 3.8 vs BSP:GEPA4: 2.25

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Rio Paranapanema Energia  (BSP:GEPA4) 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 .


Rio Paranapanema Energia Interest Coverage Related Terms


Rio Paranapanema Energia Interest Coverage Historical Data

* Premium members only.

The historical data trend for Rio Paranapanema Energia'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.

Rio Paranapanema Energia Interest Coverage Chart

Rio Paranapanema Energia Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.05 2.40 3.84 N/A No Debt

Rio Paranapanema Energia Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.80 4.74 1.63 0.00 4.86

BSP:GEPA4 vs NEE, SO, DUK: Interest Coverage Comparison

For the Utilities - Regulated Electric subindustry, Rio Paranapanema Energia'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.


Rio Paranapanema Energia Interest Coverage vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Rio Paranapanema Energia's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Rio Paranapanema Energia's Interest Coverage falls into.


BSP:GEPA4
48GF Score
Rio Paranapanema Energia SA BSP:GEPA4
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Rio Paranapanema Energia 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:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Rio Paranapanema Energia's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Rio Paranapanema Energia's Interest Expense was R$0.00 Mil. Its Operating Income was R$0.00 Mil. And its Long-Term Debt & Capital Lease Obligation was R$0.00 Mil.

Rio Paranapanema Energia had no debt (1).

Rio Paranapanema Energia's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Rio Paranapanema Energia's Interest Expense was R$-45.47 Mil. Its Operating Income was R$221.00 Mil. And its Long-Term Debt & Capital Lease Obligation was R$619.56 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*220.998/-45.469
=4.86

* 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.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 4.86 mean?
Rio Paranapanema Energia (BSP:GEPA4) has a Interest Coverage of 4.86 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Rio Paranapanema Energia and its competitors. This is 27% above median its historical median of 3.84. Over the past decade, Rio Paranapanema Energia's Interest Coverage has ranged from 2.05 to 10,000.00. According to the industry distribution chart, Rio Paranapanema Energia ranks #336 out of 450 companies in the Utilities - Regulated industry, placing it in the top 74.7%.
Is Rio Paranapanema Energia's Interest Coverage too high?
Rio Paranapanema Energia's current Interest Coverage of 4.86 is 27% above median its 10-year median of 3.84. Over the past 10 years, this metric has ranged from a low of 2.05 to a high of 10,000.00. The Utilities - Regulated industry median Interest Coverage is 3.80. Rio Paranapanema Energia's value of 4.86 is 27.9% above this industry median. Based on the distribution chart, Rio Paranapanema Energia ranks #336 out of 450 companies in the Utilities - Regulated industry, which is below the industry midpoint. Overall, Rio Paranapanema Energia has a GF Score™ of 48/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Rio Paranapanema Energia's Interest Coverage compare to NEE and SO?
According to the Utilities - Regulated industry distribution chart, Rio Paranapanema Energia ranks #336 out of 450 companies for Interest Coverage. This places Rio Paranapanema Energia in the lower half of its industry. The industry median Interest Coverage is 3.80. Rio Paranapanema Energia's value of 4.86 is 27.9% above this benchmark. Historically, Rio Paranapanema Energia's own Interest Coverage has ranged from 2.05 to 10,000.00 over the past decade. While the company's 10-year median is 3.84 vs. the industry median of 3.80, Rio Paranapanema Energia 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 Utilities - Regulated company?
The median Interest Coverage among Utilities - Regulated companies is 3.80, based on 450 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. Rio Paranapanema Energia's current Interest Coverage of 4.86 is 27.9% 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 Rio Paranapanema Energia and its competitors. For the Utilities - Regulated industry, the median Interest Coverage is 3.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rio Paranapanema Energia's current Interest Coverage is 4.86, which is 27% above median its own 10-year median of 3.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rio Paranapanema Energia stock overvalued right now?
Based on GuruFocus' analysis, Rio Paranapanema Energia (BSP:GEPA4) is currently considered Significantly Overvalued. The stock's GF Value™ is R$2.20, compared to a current price of R$38.95 — trading 1670.5% above its estimated fair value. The current Interest Coverage is 4.86, which is 27% above median its 10-year median of 3.84 and 27.9% above the Utilities - Regulated industry median of 3.80. Rio Paranapanema Energia's overall GF Score™ is 48/100 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 Rio Paranapanema Energia (BSP:GEPA4), the current Interest Coverage is 4.86 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 Rio Paranapanema Energia (BSP:GEPA4) Overvalued in 2026?

Based on GuruFocus' analysis, Rio Paranapanema Energia stock appears to be overvalued. The current stock price of R$38.95 is trading 1670.5% above its estimated GF Value™ of R$2.20. GuruFocus considers Rio Paranapanema Energia to be Significantly Overvalued.

Key valuation signals for BSP:GEPA4:

  • Interest Coverage: 4.86 (27% above median its 10-year median of 3.84)
  • GF Value™: R$2.20 vs. price of R$38.95 (1670.5% above fair value)
  • GF Score™: 48/100 with 4 warning signs
  • Industry Position: 27.9% above the Utilities - Regulated median (#336 of 450)

No single metric tells the full story. See the BSP:GEPA4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Rio Paranapanema Energia Business Description

Other Exchanges GEPA3:Brazil
Address Funchal Street 418, 29th Floor, E-tower, Vila Olimpia, Sao Paulo, SP, BRA, 04551-060
Rio Paranapanema Energia SA is involved in the energy sector. The company is engaged in the generation and commercialization of electric energy for industrial, residential and commercial consumption, among others. In addition to generating, the company also markets electricity in the Free and Regulated (ACL) and Free Contracting Environments. It also provides for online energy monitoring using real-time technology.
48GF Score

Get the complete analysis for BSP:GEPA4

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

R$38.95
Price
R$2.20
GF Value