Commercial Metals CoFRA:CMS +0.81%81 Interest Coverage is 5.79 as of May. 2026, which is 37% below its 10-year median of 9.26. GuruFocus rates FRA:CMS with a GF Score™ of 81/100 and a GF Value™ of €50.04 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 2,329 Industrial Products companies, Commercial Metals Co ranks worse than 63.93% 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. Commercial Metals Co's
Operating Income
for the
three
months ended in May. 2026 was €199 Mil. Commercial Metals Co's Interest Expense for the
three
months ended in May. 2026 was €-34 Mil.
Commercial Metals Co's interest coverage for the quarter that ended in May. 2026 was 5.79.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Commercial Metals Co's Interest Coverage or its related term are showing as below:
FRA:CMS'
s Interest Coverage Range Over the Past 10 Years
Min: 3.02 Med: 9.26 Max: 29.05
Current: 7.93
FRA:CMS's Interest Coverage is ranked worse than 63.93% of 2329
companies
in the Industrial Products industry
Industry Median: 14.79
vs FRA:CMS: 7.93
Commercial Metals Co (FRA:CMS) 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 .
Commercial Metals Co Interest Coverage Related Terms
Commercial Metals Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for Commercial Metals Co'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:CMS vs ESAB, GPGI, WOR: Interest Coverage Comparison
For the Metal Fabrication subindustry, Commercial Metals Co'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.
Commercial Metals Co Interest Coverage vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Commercial Metals Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Commercial Metals Co's Interest Coverage falls into.
Commercial Metals Co 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:
* 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.
Commercial Metals Co (FRA:CMS) has a Interest Coverage of 5.79 as of May. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Commercial Metals Co and its competitors. This is 37% below median its historical median of 9.26. Over the past decade, Commercial Metals Co's Interest Coverage has ranged from 3.02 to 29.05. According to the industry distribution chart, Commercial Metals Co ranks #1489 out of 2329 companies in the Industrial Products industry, placing it in the top 63.9%.
Is Commercial Metals Co's Interest Coverage too high?
Commercial Metals Co's current Interest Coverage of 5.79 is 37% below median its 10-year median of 9.26. Over the past 10 years, this metric has ranged from a low of 3.02 to a high of 29.05. The Industrial Products industry median Interest Coverage is 14.79. Commercial Metals Co's value of 5.79 is 60.9% below this industry median. Based on the distribution chart, Commercial Metals Co ranks #1489 out of 2329 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Commercial Metals Co has a GF Score™ of 81/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Commercial Metals Co's Interest Coverage compare to ESAB and GPGI?
According to the Industrial Products industry distribution chart, Commercial Metals Co ranks #1489 out of 2329 companies for Interest Coverage. This places Commercial Metals Co in the lower half of its industry. The industry median Interest Coverage is 14.79. Commercial Metals Co's value of 5.79 is 60.9% below this benchmark. Historically, Commercial Metals Co's own Interest Coverage has ranged from 3.02 to 29.05 over the past decade. While the company's 10-year median is 9.26 vs. the industry median of 14.79, Commercial Metals Co 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 Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.79, based on 2,329 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. Commercial Metals Co's current Interest Coverage of 5.79 is 60.9% 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 Commercial Metals Co and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Commercial Metals Co's current Interest Coverage is 5.79, which is 37% below median its own 10-year median of 9.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Commercial Metals Co stock overvalued right now?
Based on GuruFocus' analysis, Commercial Metals Co (FRA:CMS) is currently considered Modestly Overvalued. The stock's GF Value™ is €50.04, compared to a current price of €62.50 — trading 24.9% above its estimated fair value. The current Interest Coverage is 5.79, which is 37% below median its 10-year median of 9.26 and 60.9% below the Industrial Products industry median of 14.79. Commercial Metals Co's overall GF Score™ is 81/100 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 Commercial Metals Co (FRA:CMS), the current Interest Coverage is 5.79 as of May. 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 Commercial Metals Co (FRA:CMS) Overvalued in 2026?
Based on GuruFocus' analysis, Commercial Metals Co stock appears to be overvalued.
The current stock price of €62.50 is trading 24.9% above its estimated GF Value™ of €50.04.
GuruFocus considers Commercial Metals Co to be Modestly Overvalued.
Key valuation signals for FRA:CMS:
Interest Coverage: 5.79 (37% below median its 10-year median of 9.26)
GF Value™: €50.04 vs. price of €62.50 (24.9% above fair value)
Industry Position: 60.9% below the Industrial Products median (#1489 of 2329)
No single metric tells the full story. See the FRA:CMS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Commercial Metals Co is a manufacturer and supplier of early-stage construction materials, including steel reinforcing bars, concrete pipes, precast products, and soil stabilization solutions. It also produces merchant bar, steel fence posts, and wire rod, serving domestic and some international markets in Europe and Asia. Its products are used in infrastructure and building projects such as highways, bridges, airports, and commercial and residential buildings.
81GF Score
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