HCI GroupHCI -0.70%69 Interest Coverage is 126.01 as of Mar. 2026, which is 2907% above its 10-year median of 4.19. GuruFocus rates HCI with a GF Score™ of 69/100 and a GF Value™ of $248.48 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 351 Insurance companies, HCI Group ranks better than 75.78% 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. HCI Group's
EBIT
for the
three
months ended in Mar. 2026 was $116.3 Mil. HCI Group's Interest Expense for the
three
months ended in Mar. 2026 was $-0.9 Mil.
HCI Group's interest coverage for the quarter that ended in Mar. 2026 was 126.01.
The higher the ratio, the stronger the company's financial strength is.
Good Sign:
Ben Graham prefers companies' interest coverage to be at least 5. HCI Group Inc has enough cash to cover all of its debt. Its financial situation is stable.
The historical rank and industry rank for HCI Group's Interest Coverage or its related term are showing as below:
HCI'
s Interest Coverage Range Over the Past 10 Years
Min: 0.07 Med: 4.19 Max: 67.37
Current: 67.37
HCI's Interest Coverage is ranked better than 75.78% of 351
companies
in the Insurance industry
Industry Median: 16.23
vs HCI: 67.37
HCI Group (NYSE:HCI) 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 .
HCI Group Interest Coverage Related Terms
HCI Group Interest Coverage Historical Data
* Premium members only.
The historical data trend for HCI 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.
HCI vs STC, SLDE, HMN: Interest Coverage Comparison
For the Insurance - Property & Casualty subindustry, HCI 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.
HCI Group Interest Coverage vs Insurance Industry
For the Insurance industry and Financial Services sector, HCI Group's Interest Coverage distribution charts can be found below:
* The bar in red indicates where HCI Group'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.
HCI Group (HCI) has a Interest Coverage of 126.01 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on HCI Group and its competitors. This is 2907% above median its historical median of 4.19. Over the past decade, HCI Group's Interest Coverage has ranged from 0.07 to 67.37. According to the industry distribution chart, HCI Group ranks #85 out of 351 companies in the Insurance industry, placing it in the top 24.2%.
Is HCI Group's Interest Coverage too high?
HCI Group's current Interest Coverage of 126.01 is 2907% above median its 10-year median of 4.19. Over the past 10 years, this metric has ranged from a low of 0.07 to a high of 67.37. The Insurance industry median Interest Coverage is 16.23. HCI Group's value of 126.01 is 676.4% above this industry median. Based on the distribution chart, HCI Group ranks #85 out of 351 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, HCI Group has a GF Score™ of 69/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does HCI Group's Interest Coverage compare to STC and SLDE?
According to the Insurance industry distribution chart, HCI Group ranks #85 out of 351 companies for Interest Coverage. This places HCI Group in the top 24% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 16.23. HCI Group's value of 126.01 is 676.4% above this benchmark. Historically, HCI Group's own Interest Coverage has ranged from 0.07 to 67.37 over the past decade. While the company's 10-year median is 4.19 vs. the industry median of 16.23, HCI Group 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 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. HCI Group's current Interest Coverage of 126.01 is 676.4% 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 HCI Group 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. HCI Group's current Interest Coverage is 126.01, which is 2907% above median its own 10-year median of 4.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HCI Group stock overvalued right now?
Based on GuruFocus' analysis, HCI Group (HCI) is currently considered Significantly Undervalued. The stock's GF Value™ is $248.48, compared to a current price of $173.75 — trading 30.1% below its estimated fair value. The current Interest Coverage is 126.01, which is 2907% above median its 10-year median of 4.19 and 676.4% above the Insurance industry median of 16.23. HCI Group's overall GF Score™ is 69/100 with 2 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 HCI Group (HCI), the current Interest Coverage is 126.01 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 HCI Group (HCI) Overvalued in 2026?
Based on GuruFocus' analysis, HCI Group stock appears to be undervalued.
The current stock price of $173.75 is trading 30.1% below its estimated GF Value™ of $248.48.
GuruFocus considers HCI Group to be Significantly Undervalued.
Key valuation signals for HCI:
Interest Coverage: 126.01 (2907% above median its 10-year median of 4.19)
GF Value™: $248.48 vs. price of $173.75 (30.1% below fair value)
Industry Position: 676.4% above the Insurance median (#85 of 351)
No single metric tells the full story. See the HCI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
HCI Group Inc is engaged in the property and casualty insurance business through two Florida domiciled insurance companies, Homeowners Choice Property & Casualty Insurance Company (HCPCI) and TypTap Insurance Company (TypTap). Both HCPCI and TypTap are authorized to underwrite various homeowners' property and casualty insurance products and allied lines business in the state of Florida and other states. The operating segments of the group are insurance operations, TypTap Group, reciprocal exchange operations, real estate operations, and corporate and other. It derives key revenue from the HCPCI Insurance operation segment.
69GF Score
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