Power of CanadaFRA:PCR -0.33%57 Interest Coverage is 9.64 as of Mar. 2026, which is 21% above its 10-year median of 7.94. GuruFocus rates FRA:PCR with a GF Score™ of 57/100 and a GF Value™ of €37.65 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 351 Insurance companies, Power of Canada ranks worse than 68.09% 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
EBIT
by its Interest Expense. Power of Canada's
EBIT
for the
three
months ended in Mar. 2026 was €1,239 Mil. Power of Canada's Interest Expense for the
three
months ended in Mar. 2026 was €-129 Mil.
Power of Canada's interest coverage for the quarter that ended in Mar. 2026 was 9.64.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Power of Canada's Interest Coverage or its related term are showing as below:
FRA:PCR'
s Interest Coverage Range Over the Past 10 Years
Min: 6.32 Med: 7.94 Max: 10.5
Current: 8.24
FRA:PCR's Interest Coverage is ranked worse than 68.09% of 351
companies
in the Insurance industry
Industry Median: 16.23
vs FRA:PCR: 8.24
Power of Canada (FRA:PCR) 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 .
Power of Canada Interest Coverage Related Terms
Power of Canada Interest Coverage Historical Data
* Premium members only.
The historical data trend for Power of Canada'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:PCR vs AFL, MET, PRU: Interest Coverage Comparison
For the Insurance - Life subindustry, Power of Canada'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.
Power of Canada Interest Coverage vs Insurance Industry
For the Insurance industry and Financial Services sector, Power of Canada's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Power of Canada'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.
Power of Canada (FRA:PCR) has a Interest Coverage of 9.64 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Power of Canada and its competitors. This is 21% above median its historical median of 7.94. Over the past decade, Power of Canada's Interest Coverage has ranged from 6.32 to 10.50. According to the industry distribution chart, Power of Canada ranks #239 out of 351 companies in the Insurance industry, placing it in the top 68.1%.
Is Power of Canada's Interest Coverage too high?
Power of Canada's current Interest Coverage of 9.64 is 21% above median its 10-year median of 7.94. Over the past 10 years, this metric has ranged from a low of 6.32 to a high of 10.50. The Insurance industry median Interest Coverage is 16.23. Power of Canada's value of 9.64 is 40.6% below this industry median. Based on the distribution chart, Power of Canada ranks #239 out of 351 companies in the Insurance industry, which is below the industry midpoint. Overall, Power of Canada has a GF Score™ of 57/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Power of Canada's Interest Coverage compare to AFL and MET?
According to the Insurance industry distribution chart, Power of Canada ranks #239 out of 351 companies for Interest Coverage. This places Power of Canada in the lower half of its industry. The industry median Interest Coverage is 16.23. Power of Canada's value of 9.64 is 40.6% below this benchmark. Historically, Power of Canada's own Interest Coverage has ranged from 6.32 to 10.50 over the past decade. While the company's 10-year median is 7.94 vs. the industry median of 16.23, Power of Canada 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 Insurance company?
The median Interest Coverage among Insurance companies is 16.23, based on 351 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. Power of Canada's current Interest Coverage of 9.64 is 40.6% 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 Power of Canada and its competitors. For the Insurance industry, the median Interest Coverage is 16.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Power of Canada's current Interest Coverage is 9.64, which is 21% above median its own 10-year median of 7.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Power of Canada stock overvalued right now?
Based on GuruFocus' analysis, Power of Canada (FRA:PCR) is currently considered Significantly Overvalued. The stock's GF Value™ is €37.65, compared to a current price of €53.72 — trading 42.7% above its estimated fair value. The current Interest Coverage is 9.64, which is 21% above median its 10-year median of 7.94 and 40.6% below the Insurance industry median of 16.23. Power of Canada's overall GF Score™ is 57/100 with 8 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 Power of Canada (FRA:PCR), the current Interest Coverage is 9.64 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 Power of Canada (FRA:PCR) Overvalued in 2026?
Based on GuruFocus' analysis, Power of Canada stock appears to be overvalued.
The current stock price of €53.72 is trading 42.7% above its estimated GF Value™ of €37.65.
GuruFocus considers Power of Canada to be Significantly Overvalued.
Key valuation signals for FRA:PCR:
Interest Coverage: 9.64 (21% above median its 10-year median of 7.94)
GF Value™: €37.65 vs. price of €53.72 (42.7% above fair value)
Industry Position: 40.6% below the Insurance median (#239 of 351)
No single metric tells the full story. See the FRA:PCR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Power Corp. of Canada is a holding company with controlling interests in Great-West Lifeco (one of the big three Canadian life insurers), IGM Financial (Canada's largest nonbank asset manager), and other alternative asset management platforms (Sagard and Power Sustainable). The company also has minority interests in Groupe Bruxelles Lambert, a holding company with interests in European firms.
57GF Score
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Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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