ESLT (Elbit Systems) Interest Coverage: 6.37 (As of Mar. 2026) — 40% Below Median


ESLT Elbit Systems Ltd ESLT
67 GF Score
Price $750.90
GF Value $363.31
Valuation Significantly Overvalued
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What is Elbit Systems Interest Coverage?

Elbit Systems ESLT -2.70% 67 Interest Coverage is 6.37 as of Mar. 2026, which is 40% below its 10-year median of 10.62. GuruFocus rates ESLT with a GF Score™ of 67/100 and a GF Value™ of $363.31 (Significantly Overvalued). Among 241 Aerospace & Defense companies, Elbit Systems ranks better than 58.09% 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. Elbit Systems's Operating Income for the three months ended in Mar. 2026 was $205 Mil. Elbit Systems's Interest Expense for the three months ended in Mar. 2026 was $-32 Mil. Elbit Systems's interest coverage for the quarter that ended in Mar. 2026 was 6.37. The higher the ratio, the stronger the company's financial strength is.

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

ESLT' s Interest Coverage Range Over the Past 10 Years
Min: 3.72   Med: 10.62   Max: 22.13
Current: 11.46


ESLT's Interest Coverage is ranked better than
58.09% of 241 companies
in the Aerospace & Defense industry
Industry Median: 8.69 vs ESLT: 11.46

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


Elbit Systems  (NAS:ESLT) 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 .


Elbit Systems Interest Coverage Related Terms


Elbit Systems Interest Coverage Historical Data

* Premium members only.

The historical data trend for Elbit Systems'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.

Elbit Systems Interest Coverage Chart

Elbit Systems 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 16.77 8.82 3.72 3.84 9.60

Elbit Systems 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 3.84 5.06 4.98 0.00 6.37

ESLT vs GE, RTX, BA: Interest Coverage Comparison

For the Aerospace & Defense subindustry, Elbit Systems'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.


Elbit Systems Interest Coverage vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Elbit Systems's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Elbit Systems's Interest Coverage falls into.


ESLT
67GF Score
Elbit Systems Ltd ESLT
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Elbit Systems 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.

Elbit Systems'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, Elbit Systems's Interest Expense was $-72 Mil. Its Operating Income was $687 Mil. And its Long-Term Debt & Capital Lease Obligation was $732 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*687.181/-71.574
=9.60

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

Here, for the three months ended in Mar. 2026, Elbit Systems's Interest Expense was $-32 Mil. Its Operating Income was $205 Mil. And its Long-Term Debt & Capital Lease Obligation was $716 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*205.13/-32.188
=6.37

* 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 6.37 mean?
Elbit Systems (ESLT) has a Interest Coverage of 6.37 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Elbit Systems and its competitors. This is 40% below median its historical median of 10.62. Over the past decade, Elbit Systems' Interest Coverage has ranged from 3.72 to 22.13. According to the industry distribution chart, Elbit Systems ranks #101 out of 241 companies in the Aerospace & Defense industry, placing it in the top 41.9%.
Is Elbit Systems' Interest Coverage too high?
Elbit Systems' current Interest Coverage of 6.37 is 40% below median its 10-year median of 10.62. Over the past 10 years, this metric has ranged from a low of 3.72 to a high of 22.13. The Aerospace & Defense industry median Interest Coverage is 8.69. Elbit Systems' value of 6.37 is 26.7% below this industry median. Based on the distribution chart, Elbit Systems ranks #101 out of 241 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Elbit Systems has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Elbit Systems' Interest Coverage compare to GE and RTX?
According to the Aerospace & Defense industry distribution chart, Elbit Systems ranks #101 out of 241 companies for Interest Coverage. This puts Elbit Systems in the upper half of its industry. The industry median Interest Coverage is 8.69. Elbit Systems' value of 6.37 is 26.7% below this benchmark. Historically, Elbit Systems' own Interest Coverage has ranged from 3.72 to 22.13 over the past decade. While the company's 10-year median is 10.62 vs. the industry median of 8.69, Elbit Systems 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 an Aerospace & Defense company?
The median Interest Coverage among Aerospace & Defense companies is 8.69, based on 241 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. Elbit Systems's current Interest Coverage of 6.37 is 26.7% 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 Elbit Systems and its competitors. For the Aerospace & Defense industry, the median Interest Coverage is 8.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elbit Systems's current Interest Coverage is 6.37, which is 40% below median its own 10-year median of 10.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elbit Systems stock overvalued right now?
Based on GuruFocus' analysis, Elbit Systems (ESLT) is currently considered Significantly Overvalued. The stock's GF Value™ is $363.31, compared to a current price of $750.90 — trading 106.7% above its estimated fair value. The current Interest Coverage is 6.37, which is 40% below median its 10-year median of 10.62 and 26.7% below the Aerospace & Defense industry median of 8.69. Elbit Systems' overall GF Score™ is 67/100. 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 Elbit Systems (ESLT), the current Interest Coverage is 6.37 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 Elbit Systems (ESLT) Overvalued in 2026?

Based on GuruFocus' analysis, Elbit Systems stock appears to be overvalued. The current stock price of $750.90 is trading 106.7% above its estimated GF Value™ of $363.31. GuruFocus considers Elbit Systems to be Significantly Overvalued.

Key valuation signals for ESLT:

  • Interest Coverage: 6.37 (40% below median its 10-year median of 10.62)
  • GF Value™: $363.31 vs. price of $750.90 (106.7% above fair value)
  • GF Score™: 67/100
  • Industry Position: 26.7% below the Aerospace & Defense median (#101 of 241)

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


Elbit Systems Business Description

Other Exchanges ESLT:IsraelEB2:Germany
Address Advanced Technology Center, P.O. Box 539, Haifa, ISR, 3100401
Elbit Systems Ltd is a technology company involved in producing a portfolio of systems and products for aircraft, land, and naval applications. The company's products are used for defense, homeland security and commercial flight capabilities. Its systems and solutions may be installed on new platforms or it may perform a comprehensive modernization program to transform a platform. Elbit Systems gives instructions to its customers on the proper maintenance of its products and will provide support team specialists when the customer cannot fix a problem. The company operates in five segments: Aerospace; C4I and Cyber; ISTAR and EW; Land; and ESA. It derives maximum revenue from Land Segment. Geographically, it operates in Israel; North America; Europe; Asia-Pacific; Latin America; and Others.
67GF Score

Get the complete analysis for ESLT

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

$750.90
Price
$363.31
GF Value