Highwoods PropertiesFRA:HQS 65 Interest Coverage is 1.25 as of Mar. 2026, which is 46% below its 10-year median of 2.31. GuruFocus rates FRA:HQS with a GF Score™ of 65/100 and a GF Value™ of €22.72 (Modestly Overvalued). The stock has 13 warning signs investors should review. Among 699 REITs companies, Highwoods Properties ranks worse than 82.98% 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. Highwoods Properties's
Operating Income
for the
three
months ended in Mar. 2026 was €44.9 Mil. Highwoods Properties's Interest Expense for the
three
months ended in Mar. 2026 was €-36.1 Mil.
Highwoods Properties's interest coverage for the quarter that ended in Mar. 2026 was 1.25.
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. Highwoods Properties Inc interest coverage is 1.33, which is low.
The historical rank and industry rank for Highwoods Properties's Interest Coverage or its related term are showing as below:
FRA:HQS'
s Interest Coverage Range Over the Past 10 Years
Min: 1.33 Med: 2.31 Max: 2.91
Current: 1.33
FRA:HQS's Interest Coverage is ranked worse than 82.98% of 699
companies
in the REITs industry
Industry Median: 3.11
vs FRA:HQS: 1.33
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 .
Highwoods Properties Interest Coverage Related Terms
Highwoods Properties Interest Coverage Historical Data
* Premium members only.
The historical data trend for Highwoods Properties'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:HQS vs SLG, CDP, KRC: Interest Coverage Comparison
For the REIT - Office subindustry, Highwoods Properties'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.
Highwoods Properties Interest Coverage vs REITs Industry
For the REITs industry and Real Estate sector, Highwoods Properties's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Highwoods Properties'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.
Highwoods Properties (FRA:HQS) has a Interest Coverage of 1.25 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Highwoods Properties and its competitors. This is 46% below median its historical median of 2.31. Over the past decade, Highwoods Properties' Interest Coverage has ranged from 1.33 to 2.91. According to the industry distribution chart, Highwoods Properties ranks #580 out of 699 companies in the REITs industry, placing it in the top 83%.
Is Highwoods Properties' Interest Coverage too high?
Highwoods Properties' current Interest Coverage of 1.25 is 46% below median its 10-year median of 2.31. Over the past 10 years, this metric has ranged from a low of 1.33 to a high of 2.91. The REITs industry median Interest Coverage is 3.11. Highwoods Properties' value of 1.25 is 59.8% below this industry median. Based on the distribution chart, Highwoods Properties ranks #580 out of 699 companies in the REITs industry, which is in the bottom quartile relative to peers. Overall, Highwoods Properties has a GF Score™ of 65/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Highwoods Properties' Interest Coverage compare to SLG and CDP?
According to the REITs industry distribution chart, Highwoods Properties ranks #580 out of 699 companies for Interest Coverage. This places Highwoods Properties in the lower half of its industry. The industry median Interest Coverage is 3.11. Highwoods Properties' value of 1.25 is 59.8% below this benchmark. Historically, Highwoods Properties' own Interest Coverage has ranged from 1.33 to 2.91 over the past decade. While the company's 10-year median is 2.31 vs. the industry median of 3.11, Highwoods Properties 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 REITs company?
The median Interest Coverage among REITs companies is 3.11, based on 699 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. Highwoods Properties's current Interest Coverage of 1.25 is 59.8% 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 Highwoods Properties and its competitors. For the REITs industry, the median Interest Coverage is 3.11 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Highwoods Properties's current Interest Coverage is 1.25, which is 46% below median its own 10-year median of 2.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Highwoods Properties stock overvalued right now?
Based on GuruFocus' analysis, Highwoods Properties (FRA:HQS) is currently considered Modestly Overvalued. The stock's GF Value™ is €22.72, compared to a current price of €27.60 — trading 21.5% above its estimated fair value. The current Interest Coverage is 1.25, which is 46% below median its 10-year median of 2.31 and 59.8% below the REITs industry median of 3.11. Highwoods Properties' overall GF Score™ is 65/100 with 13 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 Highwoods Properties (FRA:HQS), the current Interest Coverage is 1.25 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 Highwoods Properties (FRA:HQS) Overvalued in 2026?
Based on GuruFocus' analysis, Highwoods Properties stock appears to be overvalued.
The current stock price of €27.60 is trading 21.5% above its estimated GF Value™ of €22.72.
GuruFocus considers Highwoods Properties to be Modestly Overvalued.
Key valuation signals for FRA:HQS:
Interest Coverage: 1.25 (46% below median its 10-year median of 2.31)
GF Value™: €22.72 vs. price of €27.60 (21.5% above fair value)
Industry Position: 59.8% below the REITs median (#580 of 699)
No single metric tells the full story. See the FRA:HQS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Highwoods Properties Inc is a fully integrated office REIT that owns, develops, acquires, leases, and manages office properties mainly in the best business districts of Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond, and Tampa. Its principal business is the operation, acquisition, and development of rental office properties, with no material inter-segment transactions. The Company evaluates performance by geographic location, and the operating results by geographic grouping are regularly reviewed by the chief operating decision maker. The core portfolio consists mainly of office properties in its key markets, with the majority of revenue derived from its Raleigh properties.
65GF Score
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