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. Evolution Petroleum's
Operating Income
for the
three
months ended in Mar. 2026 was $-0.56 Mil. Evolution Petroleum's Interest Expense for the
three
months ended in Mar. 2026 was $-0.96 Mil.
did not have earnings to cover the interest expense.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Evolution Petroleum's Interest Coverage or its related term are showing as below:
EPM'
s Interest Coverage Range Over the Past 10 Years
Min: 0.38 Med: 67.83 Max: 157.13
Current: 0.38
EPM's Interest Coverage is ranked worse than 97.53% of 728
companies
in the Oil & Gas industry
Industry Median: 5.84
vs EPM: 0.38
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 .
Evolution Petroleum Interest Coverage Related Terms
Evolution Petroleum Interest Coverage Historical Data
* Premium members only.
The historical data trend for Evolution Petroleum'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.
EPM vs GLND, EPSN, PED: Interest Coverage Comparison
For the Oil & Gas E&P subindustry, Evolution Petroleum'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.
Evolution Petroleum Interest Coverage vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Evolution Petroleum's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Evolution Petroleum'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:
Evolution Petroleum did not have earnings to cover the 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.
What does a Interest Coverage of 0 (At Loss) mean?
Evolution Petroleum (EPM) has a Interest Coverage of 0 (At Loss) as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Evolution Petroleum and its competitors. Over the past decade, Evolution Petroleum's Interest Coverage has ranged from 0.38 to 157.13. According to the industry distribution chart, Evolution Petroleum ranks #710 out of 728 companies in the Oil & Gas industry, placing it in the top 97.5%.
Is Evolution Petroleum's Interest Coverage too high?
Evolution Petroleum's current Interest Coverage is 0 (At Loss). Over the past 10 years, this metric has ranged from a low of 0.38 to a high of 157.13. Based on the distribution chart, Evolution Petroleum ranks #710 out of 728 companies in the Oil & Gas industry, which is in the bottom quartile relative to peers. Overall, Evolution Petroleum has a GF Score™ of 75/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Evolution Petroleum's Interest Coverage compare to GLND and EPSN?
According to the Oil & Gas industry distribution chart, Evolution Petroleum ranks #710 out of 728 companies for Interest Coverage. This places Evolution Petroleum in the lower half of its industry. The industry median Interest Coverage is 5.84. Historically, Evolution Petroleum's own Interest Coverage has ranged from 0.38 to 157.13 over the past decade. 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 Oil & Gas company?
The median Interest Coverage among Oil & Gas companies is 5.84, based on 728 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. 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 Evolution Petroleum and its competitors. For the Oil & Gas industry, the median Interest Coverage is 5.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Evolution Petroleum's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Evolution Petroleum stock overvalued right now?
Based on GuruFocus' analysis, Evolution Petroleum (EPM) is currently considered Modestly Undervalued. The stock's GF Value™ is $4.70, compared to a current price of $3.79 — trading 19.4% below its estimated fair value. The current Interest Coverage is 0 (At Loss). Evolution Petroleum's overall GF Score™ is 75/100 with 6 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 Evolution Petroleum (EPM), the current Interest Coverage is 0 (At Loss) 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 Evolution Petroleum (EPM) Overvalued in 2026?
Based on GuruFocus' analysis, Evolution Petroleum stock appears to be undervalued.
The current stock price of $3.79 is trading 19.4% below its estimated GF Value™ of $4.70.
GuruFocus considers Evolution Petroleum to be Modestly Undervalued.
Key valuation signals for EPM:
Interest Coverage: 0 (At Loss)
GF Value™: $4.70 vs. price of $3.79 (19.4% below fair value)
No single metric tells the full story. See the EPM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Evolution Petroleum Corp is an independent energy company focused on owning and investing in onshore oil and natural gas properties across the United States. Its portfolio includes non-operated interests in various production fields such as CO2 enhanced oil recovery in Louisiana, secondary recovery production in Wyoming, and shale gas reservoirs in Texas and North Dakota. The company generates revenue from the production and sale of oil and natural gas, leveraging specialized technologies to extend reservoir life and enhance recoveries.
75GF Score
Get the complete analysis for EPM
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