Araxi (JSE:AXX) Interest Coverage: 9.24 (As of Mar. 2026) — 93% Below Median

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JSE:AXX Araxi Ltd JSE:AXX
82 GF Score
Price R1.84
GF Value R1.68
Valuation Fairly Valued
! 6 Warning Signs
View Full Analysis

What is Araxi Interest Coverage?

Araxi JSE:AXX -1.60% 82 Interest Coverage is 9.24 as of Mar. 2026, which is 93% below its 10-year median of 133.18. GuruFocus rates JSE:AXX with a GF Score™ of 82/100 and a GF Value™ of R1.68 (Fairly Valued). The stock has 6 warning signs investors should review. Among 484 Asset Management companies, Araxi ranks worse than 63.43% 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. Araxi's Operating Income for the six months ended in Mar. 2026 was R70 Mil. Araxi's Interest Expense for the six months ended in Mar. 2026 was R-8 Mil. Araxi's interest coverage for the quarter that ended in Mar. 2026 was 9.24. The higher the ratio, the stronger the company's financial strength is.

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

JSE:AXX' s Interest Coverage Range Over the Past 10 Years
Min: 11.66   Med: 133.18   Max: No Debt
Current: 11.66


JSE:AXX's Interest Coverage is ranked worse than
63.43% of 484 companies
in the Asset Management industry
Industry Median: 45.62 vs JSE:AXX: 11.66

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


Araxi  (JSE:AXX) 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 .


Araxi Interest Coverage Related Terms


Araxi Interest Coverage Historical Data

* Premium members only.

The historical data trend for Araxi'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.

Araxi Interest Coverage Chart

Araxi Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 185.80 257.94 14.43 16.90 11.66

Araxi Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 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 8.66 13.60 22.51 13.77 9.24

JSE:AXX vs BLK, BX, KKR: Interest Coverage Comparison

For the Asset Management subindustry, Araxi'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.


Araxi Interest Coverage vs Asset Management Industry

For the Asset Management industry and Financial Services sector, Araxi's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Araxi's Interest Coverage falls into.


JSE:AXX
82GF Score
Araxi Ltd JSE:AXX
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Araxi 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.

Araxi's Interest Coverage for the fiscal year that ended in Mar. 2026 is calculated as

Here, for the fiscal year that ended in Mar. 2026, Araxi's Interest Expense was R-16 Mil. Its Operating Income was R189 Mil. And its Long-Term Debt & Capital Lease Obligation was R19 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*188.731/-16.186
=11.66

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

Here, for the six months ended in Mar. 2026, Araxi's Interest Expense was R-8 Mil. Its Operating Income was R70 Mil. And its Long-Term Debt & Capital Lease Obligation was R19 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*69.602/-7.536
=9.24

* 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 9.24 mean?
Araxi (JSE:AXX) has a Interest Coverage of 9.24 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Araxi and its competitors. This is 93% below median its historical median of 133.18. Over the past decade, Araxi's Interest Coverage has ranged from 11.66 to 10,000.00. According to the industry distribution chart, Araxi ranks #307 out of 484 companies in the Asset Management industry, placing it in the top 63.4%.
Is Araxi's Interest Coverage too high?
Araxi's current Interest Coverage of 9.24 is 93% below median its 10-year median of 133.18. Over the past 10 years, this metric has ranged from a low of 11.66 to a high of 10,000.00. The Asset Management industry median Interest Coverage is 45.62. Araxi's value of 9.24 is 79.7% below this industry median. Based on the distribution chart, Araxi ranks #307 out of 484 companies in the Asset Management industry, which is below the industry midpoint. Overall, Araxi has a GF Score™ of 82/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Araxi's Interest Coverage compare to BLK and BX?
According to the Asset Management industry distribution chart, Araxi ranks #307 out of 484 companies for Interest Coverage. This places Araxi in the lower half of its industry. The industry median Interest Coverage is 45.62. Araxi's value of 9.24 is 79.7% below this benchmark. Historically, Araxi's own Interest Coverage has ranged from 11.66 to 10,000.00 over the past decade. While the company's 10-year median is 133.18 vs. the industry median of 45.62, Araxi 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 Asset Management company?
The median Interest Coverage among Asset Management companies is 45.62, based on 484 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. Araxi's current Interest Coverage of 9.24 is 79.7% 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 Araxi and its competitors. For the Asset Management industry, the median Interest Coverage is 45.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Araxi's current Interest Coverage is 9.24, which is 93% below median its own 10-year median of 133.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Araxi stock overvalued right now?
Based on GuruFocus' analysis, Araxi (JSE:AXX) is currently considered Fairly Valued. The stock's GF Value™ is R1.68, compared to a current price of R1.84 — trading 9.5% above its estimated fair value. The current Interest Coverage is 9.24, which is 93% below median its 10-year median of 133.18 and 79.7% below the Asset Management industry median of 45.62. Araxi's overall GF Score™ is 82/100 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 Araxi (JSE:AXX), the current Interest Coverage is 9.24 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 Araxi (JSE:AXX) Overvalued in 2026?

Based on GuruFocus' analysis, Araxi stock appears to be overvalued. The current stock price of R1.84 is trading 9.5% above its estimated GF Value™ of R1.68. GuruFocus considers Araxi to be Fairly Valued.

Key valuation signals for JSE:AXX:

  • Interest Coverage: 9.24 (93% below median its 10-year median of 133.18)
  • GF Value™: R1.68 vs. price of R1.84 (9.5% above fair value)
  • GF Score™: 82/100 with 6 warning signs
  • Industry Position: 79.7% below the Asset Management median (#307 of 484)

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


Araxi Business Description

Address 44 Saturn Crescent, Unit 2, Linbro Business Park, Frankenwold, Sandton, Johannesburg, GT, ZAF, 2090
Araxi Ltd, Formerly Capital Appreciation Ltd is a South Africa based is a holding company with investments in businesses which operating in the Fintech and Financial Services Sector. The company operates in three segments: Payments and Payment Infrastructure and Services (Payments); Software and Services (Software); and International segment..
82GF Score

Get the complete analysis for JSE:AXX

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

R1.84
Price
R1.68
GF Value