Hoteis Othon (BSP:HOOT3) Interest Coverage: 4.84 (As of Mar. 2026) — 572% Above Median


BSP:HOOT3 Hoteis Othon SA BSP:HOOT3
12 GF Score
Price R$3.30
GF Value R$3.88
! 4 Warning Signs
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What is Hoteis Othon Interest Coverage?

Hoteis Othon BSP:HOOT3 12 Interest Coverage is 4.84 as of Mar. 2026, which is 572% above its 10-year median of 0.72. GuruFocus rates BSP:HOOT3 with a GF Score™ of 12/100 and a GF Value™ of R$3.88. The stock has 4 warning signs investors should review. Among 609 Travel & Leisure companies, Hoteis Othon ranks worse than 81.77% 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. Hoteis Othon's Operating Income for the three months ended in Mar. 2026 was R$29.8 Mil. Hoteis Othon's Interest Expense for the three months ended in Mar. 2026 was R$-6.2 Mil. Hoteis Othon's interest coverage for the quarter that ended in Mar. 2026 was 4.84. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Hoteis Othon SA interest coverage is 1.58, which is low.

The historical rank and industry rank for Hoteis Othon's Interest Coverage or its related term are showing as below:

BSP:HOOT3' s Interest Coverage Range Over the Past 10 Years
Min: 0.51   Med: 0.72   Max: 1.58
Current: 1.58


BSP:HOOT3's Interest Coverage is ranked worse than
81.77% of 609 companies
in the Travel & Leisure industry
Industry Median: 5.35 vs BSP:HOOT3: 1.58

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


Hoteis Othon  (BSP:HOOT3) 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 .


Hoteis Othon Interest Coverage Related Terms


Hoteis Othon Interest Coverage Historical Data

* Premium members only.

The historical data trend for Hoteis Othon'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.

Hoteis Othon Interest Coverage Chart

Hoteis Othon 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 0.00 0.00 0.51 0.88 1.39

Hoteis Othon 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 2.34 2.52 1.37 0.19 4.84

BSP:HOOT3 vs MAR, HLT, H: Interest Coverage Comparison

For the Lodging subindustry, Hoteis Othon'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.


Hoteis Othon Interest Coverage vs Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Hoteis Othon's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Hoteis Othon's Interest Coverage falls into.


BSP:HOOT3
12GF Score
Hoteis Othon SA BSP:HOOT3
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hoteis Othon 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.

Hoteis Othon'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, Hoteis Othon's Interest Expense was R$-43.4 Mil. Its Operating Income was R$60.4 Mil. And its Long-Term Debt & Capital Lease Obligation was R$0.0 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*60.432/-43.39
=1.39

Hoteis Othon's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Hoteis Othon's Interest Expense was R$-6.2 Mil. Its Operating Income was R$29.8 Mil. And its Long-Term Debt & Capital Lease Obligation was R$0.0 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*29.758/-6.152
=4.84

* 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 4.84 mean?
Hoteis Othon (BSP:HOOT3) has a Interest Coverage of 4.84 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Hoteis Othon and its competitors. This is 572% above median its historical median of 0.72. Over the past decade, Hoteis Othon's Interest Coverage has ranged from 0.51 to 1.58. According to the industry distribution chart, Hoteis Othon ranks #498 out of 609 companies in the Travel & Leisure industry, placing it in the top 81.8%.
Is Hoteis Othon's Interest Coverage too high?
Hoteis Othon's current Interest Coverage of 4.84 is 572% above median its 10-year median of 0.72. Over the past 10 years, this metric has ranged from a low of 0.51 to a high of 1.58. The Travel & Leisure industry median Interest Coverage is 5.35. Hoteis Othon's value of 4.84 is 9.5% below this industry median. Based on the distribution chart, Hoteis Othon ranks #498 out of 609 companies in the Travel & Leisure industry, which is in the bottom quartile relative to peers. Overall, Hoteis Othon has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Hoteis Othon's Interest Coverage compare to MAR and HLT?
According to the Travel & Leisure industry distribution chart, Hoteis Othon ranks #498 out of 609 companies for Interest Coverage. This places Hoteis Othon in the lower half of its industry. The industry median Interest Coverage is 5.35. Hoteis Othon's value of 4.84 is 9.5% below this benchmark. Historically, Hoteis Othon's own Interest Coverage has ranged from 0.51 to 1.58 over the past decade. While the company's 10-year median is 0.72 vs. the industry median of 5.35, Hoteis Othon 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 Travel & Leisure company?
The median Interest Coverage among Travel & Leisure companies is 5.35, based on 609 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. Hoteis Othon's current Interest Coverage of 4.84 is 9.5% 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 Hoteis Othon and its competitors. For the Travel & Leisure industry, the median Interest Coverage is 5.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hoteis Othon's current Interest Coverage is 4.84, which is 572% above median its own 10-year median of 0.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hoteis Othon stock overvalued right now?
Hoteis Othon (BSP:HOOT3) has a current Interest Coverage of 4.84. The stock's GF Value™ is R$3.88, compared to a current price of R$3.30 — trading 14.9% below its estimated fair value. The current Interest Coverage is 4.84, which is 572% above median its 10-year median of 0.72 and 9.5% below the Travel & Leisure industry median of 5.35. Hoteis Othon's overall GF Score™ is 12/100 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 Hoteis Othon (BSP:HOOT3), the current Interest Coverage is 4.84 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 Hoteis Othon (BSP:HOOT3) Overvalued in 2026?

Based on GuruFocus' analysis, Hoteis Othon stock appears to be undervalued. The current stock price of R$3.30 is trading 14.9% below its estimated GF Value™ of R$3.88.

Key valuation signals for BSP:HOOT3:

  • Interest Coverage: 4.84 (572% above median its 10-year median of 0.72)
  • GF Value™: R$3.88 vs. price of R$3.30 (14.9% below fair value)
  • GF Score™: 12/100 with 4 warning signs
  • Industry Position: 9.5% below the Travel & Leisure median (#498 of 609)

No single metric tells the full story. See the BSP:HOOT3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hoteis Othon Business Description

Other Exchanges HOOT4:Brazil
Address R Teofilo Otoni 15 - Sala 1204/parte, Rio de Janeiro, RJ, BRA, 20090080
Hoteis Othon SA provides services in the hotel industry. It manages hotels, inns and suites in the states of Rio de Janeiro, São Paulo, Minas Gerais, Bahia, Ceará in Brazil, and in the cities of Lisbon and Porto in Portugal.
12GF Score

Get the complete analysis for BSP:HOOT3

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

R$3.30
Price
R$3.88
GF Value