Famous BrandsFMBRF 84 Interest Coverage is 8.69 as of Feb. 2026, which is 70% above its 10-year median of 5.10. GuruFocus rates FMBRF with a GF Score™ of 84/100 and a GF Value™ of $3.56 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 254 Retail - Defensive companies, Famous Brands ranks worse than 56.69% 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. Famous Brands's
Operating Income
for the
six
months ended in Feb. 2026 was $32.8 Mil. Famous Brands's Interest Expense for the
six
months ended in Feb. 2026 was $-3.8 Mil.
Famous Brands's interest coverage for the quarter that ended in Feb. 2026 was 8.69.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Famous Brands's Interest Coverage or its related term are showing as below:
FMBRF'
s Interest Coverage Range Over the Past 10 Years
Min: 1.53 Med: 5.1 Max: 7.3
Current: 7.3
FMBRF's Interest Coverage is ranked worse than 56.69% of 254
companies
in the Retail - Defensive industry
Industry Median: 9.065
vs FMBRF: 7.30
Famous Brands (OTCPK:FMBRF) 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 .
Famous Brands Interest Coverage Related Terms
Famous Brands Interest Coverage Historical Data
* Premium members only.
The historical data trend for Famous Brands'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.
FMBRF vs SYY, USFD, PFGC: Interest Coverage Comparison
For the Food Distribution subindustry, Famous Brands'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.
Famous Brands Interest Coverage vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Famous Brands's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Famous Brands'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.
Famous Brands (FMBRF) has a Interest Coverage of 8.69 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Famous Brands and its competitors. This is 70% above median its historical median of 5.10. Over the past decade, Famous Brands' Interest Coverage has ranged from 1.53 to 7.30. According to the industry distribution chart, Famous Brands ranks #144 out of 254 companies in the Retail - Defensive industry, placing it in the top 56.7%.
Is Famous Brands' Interest Coverage too high?
Famous Brands' current Interest Coverage of 8.69 is 70% above median its 10-year median of 5.10. Over the past 10 years, this metric has ranged from a low of 1.53 to a high of 7.30. The Retail - Defensive industry median Interest Coverage is 9.07. Famous Brands' value of 8.69 is 4.1% below this industry median. Based on the distribution chart, Famous Brands ranks #144 out of 254 companies in the Retail - Defensive industry, which is below the industry midpoint. Overall, Famous Brands has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Famous Brands' Interest Coverage compare to SYY and USFD?
According to the Retail - Defensive industry distribution chart, Famous Brands ranks #144 out of 254 companies for Interest Coverage. This places Famous Brands in the lower half of its industry. The industry median Interest Coverage is 9.07. Famous Brands' value of 8.69 is 4.1% below this benchmark. Historically, Famous Brands' own Interest Coverage has ranged from 1.53 to 7.30 over the past decade. While the company's 10-year median is 5.10 vs. the industry median of 9.07, Famous Brands 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 Retail - Defensive company?
The median Interest Coverage among Retail - Defensive companies is 9.07, based on 254 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. Famous Brands's current Interest Coverage of 8.69 is 4.1% 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 Famous Brands and its competitors. For the Retail - Defensive industry, the median Interest Coverage is 9.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Famous Brands's current Interest Coverage is 8.69, which is 70% above median its own 10-year median of 5.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Famous Brands stock overvalued right now?
Based on GuruFocus' analysis, Famous Brands (FMBRF) is currently considered Modestly Undervalued. The stock's GF Value™ is $3.56, compared to a current price of $3.05 — trading 14.5% below its estimated fair value. The current Interest Coverage is 8.69, which is 70% above median its 10-year median of 5.10 and 4.1% below the Retail - Defensive industry median of 9.07. Famous Brands' overall GF Score™ is 84/100 with 1 warning sign 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 Famous Brands (FMBRF), the current Interest Coverage is 8.69 as of Feb. 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 Famous Brands (FMBRF) Overvalued in 2026?
Based on GuruFocus' analysis, Famous Brands stock appears to be undervalued.
The current stock price of $3.05 is trading 14.5% below its estimated GF Value™ of $3.56.
GuruFocus considers Famous Brands to be Modestly Undervalued.
Key valuation signals for FMBRF:
Interest Coverage: 8.69 (70% above median its 10-year median of 5.10)
GF Value™: $3.56 vs. price of $3.05 (14.5% below fair value)
Industry Position: 4.1% below the Retail - Defensive median (#144 of 254)
No single metric tells the full story. See the FMBRF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Famous Brands Ltd owns a portfolio of roughly 30 restaurant chains in Africa and the United Kingdom. Its brands include Steers, Wimpy, Debonairs Pizza, Fishaways, Mr Biggs, and Mugg & Bean. Franchisees operate all of the company's restaurants. The majority of the company's revenue comes from its supply chain segment, which is responsible for manufacturing restaurant items and delivering the products to the company's franchisees and other customers. More than three-quarters of company's restaurants are in South Africa. The company operates in South America, SADC, AME, and the UK.
84GF Score
Get the complete analysis for FMBRF
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