Cresco Labs (FRA:6CQ) Interest Coverage: 0.73 (As of Mar. 2026) — 51% Below Median


FRA:6CQ Cresco Labs Inc FRA:6CQ
38 GF Score
Price €0.69
GF Value €0.78
Valuation Modestly Undervalued
! 5 Warning Signs
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What is Cresco Labs Interest Coverage?

Cresco Labs FRA:6CQ +3.60% 38 Interest Coverage is 0.73 as of Mar. 2026, which is 51% below its 10-year median of 1.48. GuruFocus rates FRA:6CQ with a GF Score™ of 38/100 and a GF Value™ of €0.78 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 686 Drug Manufacturers companies, Cresco Labs ranks worse than 90.96% 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. Cresco Labs's Operating Income for the three months ended in Mar. 2026 was €9.7 Mil. Cresco Labs's Interest Expense for the three months ended in Mar. 2026 was €-13.3 Mil. Cresco Labs's interest coverage for the quarter that ended in Mar. 2026 was 0.73. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Cresco Labs Inc interest coverage is 1.24, which is low.

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

FRA:6CQ' s Interest Coverage Range Over the Past 10 Years
Min: 0.97   Med: 1.48   Max: 2.16
Current: 1.24


FRA:6CQ's Interest Coverage is ranked worse than
90.96% of 686 companies
in the Drug Manufacturers industry
Industry Median: 12.725 vs FRA:6CQ: 1.24

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


Cresco Labs  (FRA:6CQ) 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 .


Cresco Labs Interest Coverage Related Terms


Cresco Labs Interest Coverage Historical Data

* Premium members only.

The historical data trend for Cresco Labs'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.

Cresco Labs Interest Coverage Chart

Cresco Labs Annual Data
Trend Jan16 Jan17 Jan18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.68 0.97 0.99 1.90 1.28

Cresco Labs 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 0.87 1.83 1.32 1.14 0.73

FRA:6CQ vs ZTS, UTHR: Interest Coverage Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Cresco Labs'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.


Cresco Labs Interest Coverage vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Cresco Labs's Interest Coverage distribution charts can be found below:

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


FRA:6CQ
38GF Score
Cresco Labs Inc FRA:6CQ
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Cresco Labs 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.

Cresco Labs'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, Cresco Labs's Interest Expense was €-51.3 Mil. Its Operating Income was €65.7 Mil. And its Long-Term Debt & Capital Lease Obligation was €479.2 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*65.71/-51.264
=1.28

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

Here, for the three months ended in Mar. 2026, Cresco Labs's Interest Expense was €-13.3 Mil. Its Operating Income was €9.7 Mil. And its Long-Term Debt & Capital Lease Obligation was €487.0 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*9.665/-13.264
=0.73

* 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 0.73 mean?
Cresco Labs (FRA:6CQ) has a Interest Coverage of 0.73 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Cresco Labs and its competitors. This is 51% below median its historical median of 1.48. Over the past decade, Cresco Labs' Interest Coverage has ranged from 0.97 to 2.16. According to the industry distribution chart, Cresco Labs ranks #624 out of 686 companies in the Drug Manufacturers industry, placing it in the top 91%.
Is Cresco Labs' Interest Coverage too high?
Cresco Labs' current Interest Coverage of 0.73 is 51% below median its 10-year median of 1.48. Over the past 10 years, this metric has ranged from a low of 0.97 to a high of 2.16. The Drug Manufacturers industry median Interest Coverage is 12.73. Cresco Labs' value of 0.73 is 94.3% below this industry median. Based on the distribution chart, Cresco Labs ranks #624 out of 686 companies in the Drug Manufacturers industry, which is in the bottom quartile relative to peers. Overall, Cresco Labs has a GF Score™ of 38/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cresco Labs' Interest Coverage compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Cresco Labs ranks #624 out of 686 companies for Interest Coverage. This places Cresco Labs in the lower half of its industry. The industry median Interest Coverage is 12.73. Cresco Labs' value of 0.73 is 94.3% below this benchmark. Historically, Cresco Labs' own Interest Coverage has ranged from 0.97 to 2.16 over the past decade. While the company's 10-year median is 1.48 vs. the industry median of 12.73, Cresco Labs 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 Drug Manufacturers company?
The median Interest Coverage among Drug Manufacturers companies is 12.73, based on 686 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. Cresco Labs's current Interest Coverage of 0.73 is 94.3% 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 Cresco Labs and its competitors. For the Drug Manufacturers industry, the median Interest Coverage is 12.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cresco Labs's current Interest Coverage is 0.73, which is 51% below median its own 10-year median of 1.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cresco Labs stock overvalued right now?
Based on GuruFocus' analysis, Cresco Labs (FRA:6CQ) is currently considered Modestly Undervalued. The stock's GF Value™ is €0.78, compared to a current price of €0.69 — trading 11.5% below its estimated fair value. The current Interest Coverage is 0.73, which is 51% below median its 10-year median of 1.48 and 94.3% below the Drug Manufacturers industry median of 12.73. Cresco Labs' overall GF Score™ is 38/100 with 5 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 Cresco Labs (FRA:6CQ), the current Interest Coverage is 0.73 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 Cresco Labs (FRA:6CQ) Overvalued in 2026?

Based on GuruFocus' analysis, Cresco Labs stock appears to be undervalued. The current stock price of €0.69 is trading 11.5% below its estimated GF Value™ of €0.78. GuruFocus considers Cresco Labs to be Modestly Undervalued.

Key valuation signals for FRA:6CQ:

  • Interest Coverage: 0.73 (51% below median its 10-year median of 1.48)
  • GF Value™: €0.78 vs. price of €0.69 (11.5% below fair value)
  • GF Score™: 38/100 with 5 warning signs
  • Industry Position: 94.3% below the Drug Manufacturers median (#624 of 686)

No single metric tells the full story. See the FRA:6CQ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Cresco Labs Business Description

Address 600 W. Fulton Street, Suite 800, Chicago, IL, USA, 60661
Cresco Labs Inc is a vertically-integrated multi-state cannabis operator in the United States licensed to cultivate, manufacture, and sell retail and medical cannabis products through Sunnyside, Cresco Lab's national dispensary brand, and others. The company operates in one segment: the cultivation, manufacturing, distribution, and sale of cannabis. The company's brand includes: Cresco, High Supply, FloraCal Farms, Good News, Wonder Wellness Co., Mindy's, and Remedi.
38GF Score

Get the complete analysis for FRA:6CQ

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

€0.69
Price
€0.78
GF Value