Avery DennisonBUE:AVY 77 Interest Coverage is 8.14 as of Mar. 2026, which is 26% below its 10-year median of 11.05. GuruFocus rates BUE:AVY with a GF Score™ of 77/100 and a GF Value™ of ARS17,199.92 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 314 Packaging & Containers companies, Avery Dennison ranks better than 54.78% 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. Avery Dennison's
Operating Income
for the
three
months ended in Mar. 2026 was ARS405,072 Mil. Avery Dennison's Interest Expense for the
three
months ended in Mar. 2026 was ARS-49,778 Mil.
Avery Dennison's interest coverage for the quarter that ended in Mar. 2026 was 8.14.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Avery Dennison's Interest Coverage or its related term are showing as below:
BUE:AVY'
s Interest Coverage Range Over the Past 10 Years
Min: 8.1 Med: 11.05 Max: 15.16
Current: 8.13
BUE:AVY's Interest Coverage is ranked better than 54.78% of 314
companies
in the Packaging & Containers industry
Industry Median: 6.125
vs BUE:AVY: 8.13
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 .
Avery Dennison Interest Coverage Related Terms
Avery Dennison Interest Coverage Historical Data
* Premium members only.
The historical data trend for Avery Dennison'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.
BUE:AVY vs CCK, BALL, REYN: Interest Coverage Comparison
For the Packaging & Containers subindustry, Avery Dennison'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.
Avery Dennison Interest Coverage vs Packaging & Containers Industry
For the Packaging & Containers industry and Consumer Cyclical sector, Avery Dennison's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Avery Dennison'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.
Avery Dennison (BUE:AVY) has a Interest Coverage of 8.14 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Avery Dennison and its competitors. This is 26% below median its historical median of 11.05. Over the past decade, Avery Dennison's Interest Coverage has ranged from 8.10 to 15.16. According to the industry distribution chart, Avery Dennison ranks #142 out of 314 companies in the Packaging & Containers industry, placing it in the top 45.2%.
Is Avery Dennison's Interest Coverage too high?
Avery Dennison's current Interest Coverage of 8.14 is 26% below median its 10-year median of 11.05. Over the past 10 years, this metric has ranged from a low of 8.10 to a high of 15.16. The Packaging & Containers industry median Interest Coverage is 6.13. Avery Dennison's value of 8.14 is 32.9% above this industry median. Based on the distribution chart, Avery Dennison ranks #142 out of 314 companies in the Packaging & Containers industry, which is above the industry midpoint. Overall, Avery Dennison has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Avery Dennison's Interest Coverage compare to CCK and BALL?
According to the Packaging & Containers industry distribution chart, Avery Dennison ranks #142 out of 314 companies for Interest Coverage. This puts Avery Dennison in the upper half of its industry. The industry median Interest Coverage is 6.13. Avery Dennison's value of 8.14 is 32.9% above this benchmark. Historically, Avery Dennison's own Interest Coverage has ranged from 8.10 to 15.16 over the past decade. While the company's 10-year median is 11.05 vs. the industry median of 6.13, Avery Dennison 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 Packaging & Containers company?
The median Interest Coverage among Packaging & Containers companies is 6.13, based on 314 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. Avery Dennison's current Interest Coverage of 8.14 is 32.9% 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 Avery Dennison and its competitors. For the Packaging & Containers industry, the median Interest Coverage is 6.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Avery Dennison's current Interest Coverage is 8.14, which is 26% below median its own 10-year median of 11.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Avery Dennison stock overvalued right now?
Based on GuruFocus' analysis, Avery Dennison (BUE:AVY) is currently considered Modestly Undervalued. The stock's GF Value™ is ARS17,199.92, compared to a current price of ARS14,080.00 — trading 18.1% below its estimated fair value. The current Interest Coverage is 8.14, which is 26% below median its 10-year median of 11.05 and 32.9% above the Packaging & Containers industry median of 6.13. Avery Dennison's overall GF Score™ is 77/100 with 2 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 Avery Dennison (BUE:AVY), the current Interest Coverage is 8.14 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 Avery Dennison (BUE:AVY) Overvalued in 2026?
Based on GuruFocus' analysis, Avery Dennison stock appears to be undervalued.
The current stock price of ARS14,080.00 is trading 18.1% below its estimated GF Value™ of ARS17,199.92.
GuruFocus considers Avery Dennison to be Modestly Undervalued.
Key valuation signals for BUE:AVY:
Interest Coverage: 8.14 (26% below median its 10-year median of 11.05)
GF Value™: ARS17,199.92 vs. price of ARS14,080.00 (18.1% below fair value)
Industry Position: 32.9% above the Packaging & Containers median (#142 of 314)
No single metric tells the full story. See the BUE:AVY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Avery Dennison Corp provides materials science and digital identification solutions, offering labeling and functional materials, RFID inlays and tags, software connecting physical and digital, and products that enhance packaging and customer experience. Serving industries including retail, apparel, e-commerce, logistics, food, pharmaceuticals, and automotive it operates through two reportable segments: Materials Group, which manufactures and sells pressure-sensitive label materials, graphics, reflective products, performance tapes, and other adhesive solutions, and earns the majority of revenue; and Solutions Group, which provides brand and price tickets, tags, labels with RFID inlays, and related services, supplies, and equipment.
77GF Score
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