United Internet AGFRA:UTDI -2.12%74 Interest Coverage is 4.07 as of Mar. 2026, which is 79% below its 10-year median of 19.81. GuruFocus rates FRA:UTDI with a GF Score™ of 74/100 and a GF Value™ of €22.14 (Fairly Valued). The stock has 6 warning signs investors should review. Among 286 Telecommunication Services companies, United Internet AG ranks better than 51.75% 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. United Internet AG's
Operating Income
for the
three
months ended in Mar. 2026 was €199 Mil. United Internet AG's Interest Expense for the
three
months ended in Mar. 2026 was €-49 Mil.
United Internet AG's interest coverage for the quarter that ended in Mar. 2026 was 4.07.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for United Internet AG's Interest Coverage or its related term are showing as below:
FRA:UTDI'
s Interest Coverage Range Over the Past 10 Years
Min: 4.17 Med: 19.81 Max: 29.02
Current: 4.79
FRA:UTDI's Interest Coverage is ranked better than 51.75% of 286
companies
in the Telecommunication Services industry
Industry Median: 4.715
vs FRA:UTDI: 4.79
United Internet AG (FRA:UTDI) 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 .
United Internet AG Interest Coverage Related Terms
United Internet AG Interest Coverage Historical Data
* Premium members only.
The historical data trend for United Internet AG'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:UTDI vs TMUS, VZ, T: Interest Coverage Comparison
For the Telecom Services subindustry, United Internet AG'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.
United Internet AG Interest Coverage vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, United Internet AG's Interest Coverage distribution charts can be found below:
* The bar in red indicates where United Internet AG'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.
United Internet AG (FRA:UTDI) has a Interest Coverage of 4.07 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on United Internet AG and its competitors. This is 79% below median its historical median of 19.81. Over the past decade, United Internet AG's Interest Coverage has ranged from 4.17 to 29.02. According to the industry distribution chart, United Internet AG ranks #138 out of 286 companies in the Telecommunication Services industry, placing it in the top 48.3%.
Is United Internet AG's Interest Coverage too high?
United Internet AG's current Interest Coverage of 4.07 is 79% below median its 10-year median of 19.81. Over the past 10 years, this metric has ranged from a low of 4.17 to a high of 29.02. The Telecommunication Services industry median Interest Coverage is 4.72. United Internet AG's value of 4.07 is 13.7% below this industry median. Based on the distribution chart, United Internet AG ranks #138 out of 286 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, United Internet AG has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does United Internet AG's Interest Coverage compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, United Internet AG ranks #138 out of 286 companies for Interest Coverage. This puts United Internet AG in the upper half of its industry. The industry median Interest Coverage is 4.72. United Internet AG's value of 4.07 is 13.7% below this benchmark. Historically, United Internet AG's own Interest Coverage has ranged from 4.17 to 29.02 over the past decade. While the company's 10-year median is 19.81 vs. the industry median of 4.72, United Internet AG 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 Telecommunication Services company?
The median Interest Coverage among Telecommunication Services companies is 4.72, based on 286 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. United Internet AG's current Interest Coverage of 4.07 is 13.7% 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 United Internet AG and its competitors. For the Telecommunication Services industry, the median Interest Coverage is 4.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. United Internet AG's current Interest Coverage is 4.07, which is 79% below median its own 10-year median of 19.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is United Internet AG stock overvalued right now?
Based on GuruFocus' analysis, United Internet AG (FRA:UTDI) is currently considered Fairly Valued. The stock's GF Value™ is €22.14, compared to a current price of €23.98 — trading 8.3% above its estimated fair value. The current Interest Coverage is 4.07, which is 79% below median its 10-year median of 19.81 and 13.7% below the Telecommunication Services industry median of 4.72. United Internet AG's overall GF Score™ is 74/100 with 6 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 United Internet AG (FRA:UTDI), the current Interest Coverage is 4.07 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 United Internet AG (FRA:UTDI) Overvalued in 2026?
Based on GuruFocus' analysis, United Internet AG stock appears to be overvalued.
The current stock price of €23.98 is trading 8.3% above its estimated GF Value™ of €22.14.
GuruFocus considers United Internet AG to be Fairly Valued.
Key valuation signals for FRA:UTDI:
Interest Coverage: 4.07 (79% below median its 10-year median of 19.81)
GF Value™: €22.14 vs. price of €23.98 (8.3% above fair value)
Industry Position: 13.7% below the Telecommunication Services median (#138 of 286)
No single metric tells the full story. See the FRA:UTDI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
United Internet AG is a telecommunications provider that operates through two business divisions: Access and Applications, which in turn are divided into the segments Consumer Access and Business Access and Consumer Applications and Business Applications. The Consumer Access segment which generates the majority of the revenue for the company comprises mobile internet products as well as landline-based broadband products (including the respective applications, such as home networks, online storage, telephony, Smart Home, IPTV, and video-on-demand) and mobile internet products. The company also provides a wide range of telecommunication products and services to companies and local authorities.
74GF 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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