MDU Resources Group (FRA:MRE) Interest Coverage: 3.54 (As of Mar. 2026) — 24% Below Median

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FRA:MRE MDU Resources Group Inc FRA:MRE
74 GF Score
Price €17.20
GF Value €15.23
Valuation Modestly Overvalued
! 5 Warning Signs
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What is MDU Resources Group Interest Coverage?

MDU Resources Group FRA:MRE -0.58% 74 Interest Coverage is 3.54 as of Mar. 2026, which is 24% below its 10-year median of 4.67. GuruFocus rates FRA:MRE with a GF Score™ of 74/100 and a GF Value™ of €15.23 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 448 Utilities - Regulated companies, MDU Resources Group ranks worse than 64.96% 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. MDU Resources Group's Operating Income for the three months ended in Mar. 2026 was €100 Mil. MDU Resources Group's Interest Expense for the three months ended in Mar. 2026 was €-28 Mil. MDU Resources Group's interest coverage for the quarter that ended in Mar. 2026 was 3.54. The higher the ratio, the stronger the company's financial strength is.

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

FRA:MRE' s Interest Coverage Range Over the Past 10 Years
Min: 2.15   Med: 4.67   Max: 5.65
Current: 2.58


FRA:MRE's Interest Coverage is ranked worse than
64.96% of 448 companies
in the Utilities - Regulated industry
Industry Median: 3.855 vs FRA:MRE: 2.58

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


MDU Resources Group  (FRA:MRE) 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 .


MDU Resources Group Interest Coverage Related Terms


MDU Resources Group Interest Coverage Historical Data

* Premium members only.

The historical data trend for MDU Resources Group'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.

MDU Resources Group Interest Coverage Chart

MDU Resources Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.68 2.49 2.15 2.45 2.69

MDU Resources Group 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 4.21 1.19 1.51 3.69 3.54

FRA:MRE vs SR, OGS, CPK: Interest Coverage Comparison

For the Utilities - Regulated Gas subindustry, MDU Resources Group'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.


MDU Resources Group Interest Coverage vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, MDU Resources Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where MDU Resources Group's Interest Coverage falls into.


FRA:MRE
74GF Score
MDU Resources Group Inc FRA:MRE
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

MDU Resources Group 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.

MDU Resources Group'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, MDU Resources Group's Interest Expense was €-92 Mil. Its Operating Income was €248 Mil. And its Long-Term Debt & Capital Lease Obligation was €2,162 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*247.982/-92.018
=2.69

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

Here, for the three months ended in Mar. 2026, MDU Resources Group's Interest Expense was €-28 Mil. Its Operating Income was €100 Mil. And its Long-Term Debt & Capital Lease Obligation was €2,060 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*100.085/-28.273
=3.54

* 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 3.54 mean?
MDU Resources Group (FRA:MRE) has a Interest Coverage of 3.54 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on MDU Resources Group and its competitors. This is 24% below median its historical median of 4.67. Over the past decade, MDU Resources Group's Interest Coverage has ranged from 2.15 to 5.65. According to the industry distribution chart, MDU Resources Group ranks #291 out of 448 companies in the Utilities - Regulated industry, placing it in the top 65%.
Is MDU Resources Group's Interest Coverage too high?
MDU Resources Group's current Interest Coverage of 3.54 is 24% below median its 10-year median of 4.67. Over the past 10 years, this metric has ranged from a low of 2.15 to a high of 5.65. The Utilities - Regulated industry median Interest Coverage is 3.86. MDU Resources Group's value of 3.54 is 8.2% below this industry median. Based on the distribution chart, MDU Resources Group ranks #291 out of 448 companies in the Utilities - Regulated industry, which is below the industry midpoint. Overall, MDU Resources Group has a GF Score™ of 74/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does MDU Resources Group's Interest Coverage compare to SR and OGS?
According to the Utilities - Regulated industry distribution chart, MDU Resources Group ranks #291 out of 448 companies for Interest Coverage. This places MDU Resources Group in the lower half of its industry. The industry median Interest Coverage is 3.86. MDU Resources Group's value of 3.54 is 8.2% below this benchmark. Historically, MDU Resources Group's own Interest Coverage has ranged from 2.15 to 5.65 over the past decade. While the company's 10-year median is 4.67 vs. the industry median of 3.86, MDU Resources Group 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 Utilities - Regulated company?
The median Interest Coverage among Utilities - Regulated companies is 3.86, based on 448 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. MDU Resources Group's current Interest Coverage of 3.54 is 8.2% 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 MDU Resources Group and its competitors. For the Utilities - Regulated industry, the median Interest Coverage is 3.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. MDU Resources Group's current Interest Coverage is 3.54, which is 24% below median its own 10-year median of 4.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MDU Resources Group stock overvalued right now?
Based on GuruFocus' analysis, MDU Resources Group (FRA:MRE) is currently considered Modestly Overvalued. The stock's GF Value™ is €15.23, compared to a current price of €17.20 — trading 12.9% above its estimated fair value. The current Interest Coverage is 3.54, which is 24% below median its 10-year median of 4.67 and 8.2% below the Utilities - Regulated industry median of 3.86. MDU Resources Group's overall GF Score™ is 74/100 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 MDU Resources Group (FRA:MRE), the current Interest Coverage is 3.54 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 MDU Resources Group (FRA:MRE) Overvalued in 2026?

Based on GuruFocus' analysis, MDU Resources Group stock appears to be overvalued. The current stock price of €17.20 is trading 12.9% above its estimated GF Value™ of €15.23. GuruFocus considers MDU Resources Group to be Modestly Overvalued.

Key valuation signals for FRA:MRE:

  • Interest Coverage: 3.54 (24% below median its 10-year median of 4.67)
  • GF Value™: €15.23 vs. price of €17.20 (12.9% above fair value)
  • GF Score™: 74/100 with 5 warning signs
  • Industry Position: 8.2% below the Utilities - Regulated median (#291 of 448)

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


MDU Resources Group Business Description

Other Exchanges MDU:USA
Address 1200 West Century Avenue, P.O. Box 5650, Bismarck, ND, USA, 58506-5650
MDU Resources Group Inc is a pure-play regulated energy delivery business. It is organized into three reportable business segments: Electric, Natural Gas Distribution, and Pipeline. Maximum revenue is generated from the Pipeline segment, which provides natural gas transportation and underground storage services through a FERC-regulated pipeline system mainly in the Rocky Mountain and northern Great Plains regions of the United States. This segment also provides non-regulated energy-related services, including cathodic protection. The electric segment generates, transmits, and distributes electricity in Montana, North Dakota, South Dakota, and Wyoming, and the natural gas distribution segment distributes natural gas in those states, as well as in Idaho, Minnesota, Oregon, and Washington.
74GF Score

Get the complete analysis for FRA:MRE

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

€17.20
Price
€15.23
GF Value