Adient (FRA:18I) Interest Coverage: 2.48 (As of Mar. 2026) — 45% Above Median


FRA:18I Adient PLC FRA:18I
74 GF Score
Price €15.58
GF Value €24.66
Valuation Significantly Undervalued
! 3 Warning Signs
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What is Adient Interest Coverage?

Adient FRA:18I -9.71% 74 Interest Coverage is 2.48 as of Mar. 2026, which is 45% above its 10-year median of 1.71. GuruFocus rates FRA:18I with a GF Score™ of 74/100 and a GF Value™ of €24.66 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 1,067 Vehicles & Parts companies, Adient ranks worse than 81.35% 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. Adient's Operating Income for the three months ended in Mar. 2026 was €103 Mil. Adient's Interest Expense for the three months ended in Mar. 2026 was €-42 Mil. Adient's interest coverage for the quarter that ended in Mar. 2026 was 2.48. The higher the ratio, the stronger the company's financial strength is.

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

FRA:18I' s Interest Coverage Range Over the Past 10 Years
Min: 0.16   Med: 1.71   Max: 19.35
Current: 2.12


FRA:18I's Interest Coverage is ranked worse than
81.35% of 1067 companies
in the Vehicles & Parts industry
Industry Median: 8.31 vs FRA:18I: 2.12

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


Adient  (FRA:18I) 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 .


Adient Interest Coverage Related Terms


Adient Interest Coverage Historical Data

* Premium members only.

The historical data trend for Adient'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.

Adient Interest Coverage Chart

Adient Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.13 1.05 2.48 2.20 2.18

Adient 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 2.44 2.08 2.28 1.67 2.48

FRA:18I vs XPEL, DCH, PLOW: Interest Coverage Comparison

For the Auto Parts subindustry, Adient'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.


Adient Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Adient's Interest Coverage distribution charts can be found below:

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


FRA:18I
74GF Score
Adient PLC FRA:18I
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Adient 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.

Adient's Interest Coverage for the fiscal year that ended in Sep. 2025 is calculated as

Here, for the fiscal year that ended in Sep. 2025, Adient's Interest Expense was €-171 Mil. Its Operating Income was €374 Mil. And its Long-Term Debt & Capital Lease Obligation was €2,033 Mil.

Interest Coverage=-1* Operating Income (A: Sep. 2025 )/Interest Expense (A: Sep. 2025 )
=-1*374.028/-171.252
=2.18

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

Here, for the three months ended in Mar. 2026, Adient's Interest Expense was €-42 Mil. Its Operating Income was €103 Mil. And its Long-Term Debt & Capital Lease Obligation was €2,058 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*102.935/-41.52
=2.48

* 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 2.48 mean?
Adient (FRA:18I) has a Interest Coverage of 2.48 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Adient and its competitors. This is 45% above median its historical median of 1.71. Over the past decade, Adient's Interest Coverage has ranged from 0.16 to 19.35. According to the industry distribution chart, Adient ranks #868 out of 1067 companies in the Vehicles & Parts industry, placing it in the top 81.3%.
Is Adient's Interest Coverage too high?
Adient's current Interest Coverage of 2.48 is 45% above median its 10-year median of 1.71. Over the past 10 years, this metric has ranged from a low of 0.16 to a high of 19.35. The Vehicles & Parts industry median Interest Coverage is 8.31. Adient's value of 2.48 is 70.2% below this industry median. Based on the distribution chart, Adient ranks #868 out of 1067 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Adient has a GF Score™ of 74/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Adient's Interest Coverage compare to XPEL and DCH?
According to the Vehicles & Parts industry distribution chart, Adient ranks #868 out of 1067 companies for Interest Coverage. This places Adient in the lower half of its industry. The industry median Interest Coverage is 8.31. Adient's value of 2.48 is 70.2% below this benchmark. Historically, Adient's own Interest Coverage has ranged from 0.16 to 19.35 over the past decade. While the company's 10-year median is 1.71 vs. the industry median of 8.31, Adient 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.31, based on 1,067 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. Adient's current Interest Coverage of 2.48 is 70.2% 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 Adient and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Adient's current Interest Coverage is 2.48, which is 45% above median its own 10-year median of 1.71. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Adient stock overvalued right now?
Based on GuruFocus' analysis, Adient (FRA:18I) is currently considered Significantly Undervalued. The stock's GF Value™ is €24.66, compared to a current price of €15.58 — trading 36.8% below its estimated fair value. The current Interest Coverage is 2.48, which is 45% above median its 10-year median of 1.71 and 70.2% below the Vehicles & Parts industry median of 8.31. Adient's overall GF Score™ is 74/100 with 3 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 Adient (FRA:18I), the current Interest Coverage is 2.48 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 Adient (FRA:18I) Overvalued in 2026?

Based on GuruFocus' analysis, Adient stock appears to be undervalued. The current stock price of €15.58 is trading 36.8% below its estimated GF Value™ of €24.66. GuruFocus considers Adient to be Significantly Undervalued.

Key valuation signals for FRA:18I:

  • Interest Coverage: 2.48 (45% above median its 10-year median of 1.71)
  • GF Value™: €24.66 vs. price of €15.58 (36.8% below fair value)
  • GF Score™: 74/100 with 3 warning signs
  • Industry Position: 70.2% below the Vehicles & Parts median (#868 of 1067)

No single metric tells the full story. See the FRA:18I stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Adient Business Description

Other Exchanges ADNT:USA18I:Germany
Address 25 North Wall Quay, Dublin 1, Dublin, IRL, D01 H104
Adient began trading Oct. 31, 2016, when Johnson Controls spun off its automotive experience segment. Adient is a leading seating supplier to the industry with about a midteens share of the global market including unconsolidated joint venture business. Its share in China is around 20%, down from about 45%, following the sale of its main joint venture there at the end of fiscal 2021. Unconsolidated revenue from joint ventures was about $3.5 billion in fiscal 2025 and consolidated China revenue was $1.3 billion. The company is headquartered in Ireland but has corporate offices in the Detroit area. Fiscal 2025 (Sept. 30 year-end) consolidated revenue, which excludes joint venture sales, was $14.5 billion.
74GF Score

Get the complete analysis for FRA:18I

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

€15.58
Price
€24.66
GF Value