Friedman IndustriesFRD -4.19%71 Interest Coverage is 8.49 as of Mar. 2026, which is 92% below its 10-year median of 111.84. GuruFocus rates FRD with a GF Score™ of 71/100 and a GF Value™ of $22.21 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 459 Steel companies, Friedman Industries ranks better than 57.08% 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. Friedman Industries's
Operating Income
for the
three
months ended in Mar. 2026 was $11.8 Mil. Friedman Industries's Interest Expense for the
three
months ended in Mar. 2026 was $-1.4 Mil.
Friedman Industries's interest coverage for the quarter that ended in Mar. 2026 was 8.49.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Friedman Industries's Interest Coverage or its related term are showing as below:
FRD'
s Interest Coverage Range Over the Past 10 Years
Min: 0.94 Med: 111.84 Max: No Debt
Current: 6.25
FRD's Interest Coverage is ranked better than 57.08% of 459
companies
in the Steel industry
Industry Median: 4.48
vs FRD: 6.25
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 .
Friedman Industries Interest Coverage Related Terms
Friedman Industries Interest Coverage Historical Data
* Premium members only.
The historical data trend for Friedman Industries'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.
FRD vs LUD, ZKIN, HLP: Interest Coverage Comparison
For the Steel subindustry, Friedman Industries'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.
Friedman Industries Interest Coverage vs Steel Industry
For the Steel industry and Basic Materials sector, Friedman Industries's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Friedman Industries'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.
Friedman Industries (FRD) has a Interest Coverage of 8.49 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Friedman Industries and its competitors. This is 92% below median its historical median of 111.84. Over the past decade, Friedman Industries' Interest Coverage has ranged from 0.94 to 10,000.00. According to the industry distribution chart, Friedman Industries ranks #197 out of 459 companies in the Steel industry, placing it in the top 42.9%.
Is Friedman Industries' Interest Coverage too high?
Friedman Industries' current Interest Coverage of 8.49 is 92% below median its 10-year median of 111.84. Over the past 10 years, this metric has ranged from a low of 0.94 to a high of 10,000.00. The Steel industry median Interest Coverage is 4.48. Friedman Industries' value of 8.49 is 89.5% above this industry median. Based on the distribution chart, Friedman Industries ranks #197 out of 459 companies in the Steel industry, which is above the industry midpoint. Overall, Friedman Industries has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Friedman Industries' Interest Coverage compare to LUD and ZKIN?
According to the Steel industry distribution chart, Friedman Industries ranks #197 out of 459 companies for Interest Coverage. This puts Friedman Industries in the upper half of its industry. The industry median Interest Coverage is 4.48. Friedman Industries' value of 8.49 is 89.5% above this benchmark. Historically, Friedman Industries' own Interest Coverage has ranged from 0.94 to 10,000.00 over the past decade. While the company's 10-year median is 111.84 vs. the industry median of 4.48, Friedman Industries has consistently been above 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 Steel company?
The median Interest Coverage among Steel companies is 4.48, based on 459 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. Friedman Industries's current Interest Coverage of 8.49 is 89.5% above 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 Friedman Industries and its competitors. For the Steel industry, the median Interest Coverage is 4.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Friedman Industries's current Interest Coverage is 8.49, which is 92% below median its own 10-year median of 111.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Friedman Industries stock overvalued right now?
Based on GuruFocus' analysis, Friedman Industries (FRD) is currently considered Significantly Overvalued. The stock's GF Value™ is $22.21, compared to a current price of $33.74 — trading 51.9% above its estimated fair value. The current Interest Coverage is 8.49, which is 92% below median its 10-year median of 111.84 and 89.5% above the Steel industry median of 4.48. Friedman Industries' overall GF Score™ is 71/100 with 7 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 Friedman Industries (FRD), the current Interest Coverage is 8.49 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 Friedman Industries (FRD) Overvalued in 2026?
Based on GuruFocus' analysis, Friedman Industries stock appears to be overvalued.
The current stock price of $33.74 is trading 51.9% above its estimated GF Value™ of $22.21.
GuruFocus considers Friedman Industries to be Significantly Overvalued.
Key valuation signals for FRD:
Interest Coverage: 8.49 (92% below median its 10-year median of 111.84)
GF Value™: $22.21 vs. price of $33.74 (51.9% above fair value)
Industry Position: 89.5% above the Steel median (#197 of 459)
No single metric tells the full story. See the FRD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Friedman Industries Inc is a manufacturer and processor of metals and operates in two reportable segments: flat-roll products and tubular products. The flat-roll product segment consists of flat-roll processing facilities located in Hickman, Arkansas; Decatur, Alabama; Miami, Florida; East Chicago, Indiana; Granite City, Illinois and Sinton, Texas and a flat-roll distribution facility located in Orlando, Florida. The tubular product segment consists of the Company's Texas Tubular Products division (TTP) located in Lone Star, Texas. TTP operates two electric resistance welded pipe mills with a combined outside diameter (OD). Its products are flat-roll products and tubular products.
71GF Score
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