Sirius XM HoldingsFRA:3HY +2.70%71 Interest Coverage is 4.11 as of Mar. 2026, which is 6% below its 10-year median of 4.38. GuruFocus rates FRA:3HY with a GF Score™ of 71/100 and a GF Value™ of €22.98 (Modestly Overvalued). The stock has 11 warning signs investors should review. Among 604 Media - Diversified companies, Sirius XM Holdings ranks worse than 66.72% 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. Sirius XM Holdings's
Operating Income
for the
three
months ended in Mar. 2026 was €398 Mil. Sirius XM Holdings's Interest Expense for the
three
months ended in Mar. 2026 was €-97 Mil.
Sirius XM Holdings's interest coverage for the quarter that ended in Mar. 2026 was 4.11.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Sirius XM Holdings's Interest Coverage or its related term are showing as below:
FRA:3HY'
s Interest Coverage Range Over the Past 10 Years
Min: 3.56 Med: 4.38 Max: 4.94
Current: 4.26
FRA:3HY's Interest Coverage is ranked worse than 66.72% of 604
companies
in the Media - Diversified industry
Industry Median: 11.66
vs FRA:3HY: 4.26
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 .
Sirius XM Holdings Interest Coverage Related Terms
Sirius XM Holdings Interest Coverage Historical Data
* Premium members only.
The historical data trend for Sirius XM Holdings'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.
FRA:3HY vs MSGS, LLYVA, PSKY: Interest Coverage Comparison
For the Entertainment subindustry, Sirius XM Holdings'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.
Sirius XM Holdings Interest Coverage vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Sirius XM Holdings's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Sirius XM Holdings'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.
Sirius XM Holdings (FRA:3HY) has a Interest Coverage of 4.11 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sirius XM Holdings and its competitors. This is near median its historical median of 4.38. Over the past decade, Sirius XM Holdings' Interest Coverage has ranged from 3.56 to 4.94. According to the industry distribution chart, Sirius XM Holdings ranks #403 out of 604 companies in the Media - Diversified industry, placing it in the top 66.7%.
Is Sirius XM Holdings' Interest Coverage too high?
Sirius XM Holdings' current Interest Coverage of 4.11 is near median its 10-year median of 4.38. Over the past 10 years, this metric has ranged from a low of 3.56 to a high of 4.94. The Media - Diversified industry median Interest Coverage is 11.66. Sirius XM Holdings' value of 4.11 is 64.8% below this industry median. Based on the distribution chart, Sirius XM Holdings ranks #403 out of 604 companies in the Media - Diversified industry, which is below the industry midpoint. Overall, Sirius XM Holdings has a GF Score™ of 71/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sirius XM Holdings' Interest Coverage compare to MSGS and LLYVA?
According to the Media - Diversified industry distribution chart, Sirius XM Holdings ranks #403 out of 604 companies for Interest Coverage. This places Sirius XM Holdings in the lower half of its industry. The industry median Interest Coverage is 11.66. Sirius XM Holdings' value of 4.11 is 64.8% below this benchmark. Historically, Sirius XM Holdings' own Interest Coverage has ranged from 3.56 to 4.94 over the past decade. While the company's 10-year median is 4.38 vs. the industry median of 11.66, Sirius XM Holdings 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 Media - Diversified company?
The median Interest Coverage among Media - Diversified companies is 11.66, 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. Sirius XM Holdings's current Interest Coverage of 4.11 is 64.8% 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 Sirius XM Holdings and its competitors. For the Media - Diversified industry, the median Interest Coverage is 11.66 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sirius XM Holdings's current Interest Coverage is 4.11, which is near median its own 10-year median of 4.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sirius XM Holdings stock overvalued right now?
Based on GuruFocus' analysis, Sirius XM Holdings (FRA:3HY) is currently considered Modestly Overvalued. The stock's GF Value™ is €22.98, compared to a current price of €26.60 — trading 15.8% above its estimated fair value. The current Interest Coverage is 4.11, which is near median its 10-year median of 4.38 and 64.8% below the Media - Diversified industry median of 11.66. Sirius XM Holdings' overall GF Score™ is 71/100 with 11 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 Sirius XM Holdings (FRA:3HY), the current Interest Coverage is 4.11 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 Sirius XM Holdings (FRA:3HY) Overvalued in 2026?
Based on GuruFocus' analysis, Sirius XM Holdings stock appears to be overvalued.
The current stock price of €26.60 is trading 15.8% above its estimated GF Value™ of €22.98.
GuruFocus considers Sirius XM Holdings to be Modestly Overvalued.
Key valuation signals for FRA:3HY:
Interest Coverage: 4.11 (near median its 10-year median of 4.38)
GF Value™: €22.98 vs. price of €26.60 (15.8% above fair value)
Industry Position: 64.8% below the Media - Diversified median (#403 of 604)
No single metric tells the full story. See the FRA:3HY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sirius XM operates almost exclusively in the US through its SiriusXM and Pandora audio services. SiriusXM is primarily a satellite radio service that offers nationwide coverage and mostly ad-free listening, with proprietary channels and exclusive content. It makes agreements with automakers to install its radios in vehicles and give trial services to vehicle buyers, which have traditionally fed its subscriber base. The company provides the service via a fleet of geostationary satellites it owns and operates and now offers a streaming SiriusXM option. Pandora, which accounts for a much smaller portion of revenue and profit, offers a subscription and ad-supported streaming music service that competes with industry giants such as Spotify, Apple Music, and YouTube Music.
71GF Score
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