Arab Developers HoldingCAI:ARAB 34 Interest Coverage is 2.47 as of Sep. 2025, which is 29% below its 10-year median of 3.50. GuruFocus rates CAI:ARAB with a GF Score™ of 34/100 and a GF Value™ of E£0.10 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 604 Travel & Leisure companies, Arab Developers Holding ranks worse than 94.37% 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. Arab Developers Holding's
Operating Income
for the
three
months ended in Sep. 2025 was E£95 Mil. Arab Developers Holding's Interest Expense for the
three
months ended in Sep. 2025 was E£-38 Mil.
Arab Developers Holding's interest coverage for the quarter that ended in Sep. 2025 was 2.47.
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. Arab Developers Holdings earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.
The historical rank and industry rank for Arab Developers Holding's Interest Coverage or its related term are showing as below:
CAI:ARAB'
s Interest Coverage Range Over the Past 10 Years
Min: 0.02 Med: 3.5 Max: No Debt
Current: 0.66
CAI:ARAB's Interest Coverage is ranked worse than 94.37% of 604
companies
in the Travel & Leisure industry
Industry Median: 5.35
vs CAI:ARAB: 0.66
Arab Developers Holding (CAI:ARAB) 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 .
Arab Developers Holding Interest Coverage Related Terms
Arab Developers Holding Interest Coverage Historical Data
* Premium members only.
The historical data trend for Arab Developers Holding'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.
CAI:ARAB vs LVS, MGM, WYNN: Interest Coverage Comparison
For the Resorts & Casinos subindustry, Arab Developers Holding'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.
Arab Developers Holding Interest Coverage vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Arab Developers Holding's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Arab Developers Holding's Interest Coverage falls into.
Arab Developers Holding 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.
Arab Developers Holding (CAI:ARAB) has a Interest Coverage of 2.47 as of Sep. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Arab Developers Holding and its competitors. This is 29% below median its historical median of 3.50. Over the past decade, Arab Developers Holding's Interest Coverage has ranged from 0.02 to 10,000.00. According to the industry distribution chart, Arab Developers Holding ranks #570 out of 604 companies in the Travel & Leisure industry, placing it in the top 94.4%.
Is Arab Developers Holding's Interest Coverage too high?
Arab Developers Holding's current Interest Coverage of 2.47 is 29% below median its 10-year median of 3.50. Over the past 10 years, this metric has ranged from a low of 0.02 to a high of 10,000.00. The Travel & Leisure industry median Interest Coverage is 5.35. Arab Developers Holding's value of 2.47 is 53.8% below this industry median. Based on the distribution chart, Arab Developers Holding ranks #570 out of 604 companies in the Travel & Leisure industry, which is in the bottom quartile relative to peers. Overall, Arab Developers Holding has a GF Score™ of 34/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Arab Developers Holding's Interest Coverage compare to LVS and MGM?
According to the Travel & Leisure industry distribution chart, Arab Developers Holding ranks #570 out of 604 companies for Interest Coverage. This places Arab Developers Holding in the lower half of its industry. The industry median Interest Coverage is 5.35. Arab Developers Holding's value of 2.47 is 53.8% below this benchmark. Historically, Arab Developers Holding's own Interest Coverage has ranged from 0.02 to 10,000.00 over the past decade. While the company's 10-year median is 3.50 vs. the industry median of 5.35, Arab Developers Holding 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 604 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. Arab Developers Holding's current Interest Coverage of 2.47 is 53.8% 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 Arab Developers Holding 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. Arab Developers Holding's current Interest Coverage is 2.47, which is 29% below median its own 10-year median of 3.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arab Developers Holding stock overvalued right now?
Based on GuruFocus' analysis, Arab Developers Holding (CAI:ARAB) is currently considered Significantly Overvalued. The stock's GF Value™ is E£0.10, compared to a current price of E£0.23 — trading 125% above its estimated fair value. The current Interest Coverage is 2.47, which is 29% below median its 10-year median of 3.50 and 53.8% below the Travel & Leisure industry median of 5.35. Arab Developers Holding's overall GF Score™ is 34/100 with 10 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 Arab Developers Holding (CAI:ARAB), the current Interest Coverage is 2.47 as of Sep. 2025. 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 Arab Developers Holding (CAI:ARAB) Overvalued in 2026?
Based on GuruFocus' analysis, Arab Developers Holding stock appears to be overvalued.
The current stock price of E£0.23 is trading 125% above its estimated GF Value™ of E£0.10.
GuruFocus considers Arab Developers Holding to be Significantly Overvalued.
Key valuation signals for CAI:ARAB:
Interest Coverage: 2.47 (29% below median its 10-year median of 3.50)
GF Value™: E£0.10 vs. price of E£0.23 (125% above fair value)
Industry Position: 53.8% below the Travel & Leisure median (#570 of 604)
No single metric tells the full story. See the CAI:ARAB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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