Deneb Investments (JSE:DNB) Interest Coverage: 3.72 (As of Mar. 2026) — 86% Above Median


JSE:DNB Deneb Investments Ltd JSE:DNB
75 GF Score
Price R2.65
GF Value R2.72
Valuation Fairly Valued
! 6 Warning Signs
View Full Analysis

What is Deneb Investments Interest Coverage?

Deneb Investments JSE:DNB 75 Interest Coverage is 3.72 as of Mar. 2026, which is 86% above its 10-year median of 2.00. GuruFocus rates JSE:DNB with a GF Score™ of 75/100 and a GF Value™ of R2.72 (Fairly Valued). The stock has 6 warning signs investors should review. Among 426 Conglomerates companies, Deneb Investments ranks worse than 64.55% 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. Deneb Investments's Operating Income for the six months ended in Mar. 2026 was R163 Mil. Deneb Investments's Interest Expense for the six months ended in Mar. 2026 was R-44 Mil. Deneb Investments's interest coverage for the quarter that ended in Mar. 2026 was 3.72. The higher the ratio, the stronger the company's financial strength is.

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

JSE:DNB' s Interest Coverage Range Over the Past 10 Years
Min: 0.79   Med: 2   Max: 3.51
Current: 3.31


JSE:DNB's Interest Coverage is ranked worse than
64.55% of 426 companies
in the Conglomerates industry
Industry Median: 5.31 vs JSE:DNB: 3.31

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


Deneb Investments  (JSE:DNB) 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 .


Deneb Investments Interest Coverage Related Terms


Deneb Investments Interest Coverage Historical Data

* Premium members only.

The historical data trend for Deneb Investments'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.

Deneb Investments Interest Coverage Chart

Deneb Investments 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 3.51 2.11 1.84 2.15 3.31

Deneb Investments 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 2.07 1.86 2.45 2.94 3.72

JSE:DNB vs HON, MMM: Interest Coverage Comparison

For the Conglomerates subindustry, Deneb Investments'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.


Deneb Investments Interest Coverage vs Conglomerates Industry

For the Conglomerates industry and Industrials sector, Deneb Investments's Interest Coverage distribution charts can be found below:

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


JSE:DNB
75GF Score
Deneb Investments Ltd JSE:DNB
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Deneb Investments 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.

Deneb Investments'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, Deneb Investments's Interest Expense was R-92 Mil. Its Operating Income was R306 Mil. And its Long-Term Debt & Capital Lease Obligation was R437 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*305.518/-92.263
=3.31

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

Here, for the six months ended in Mar. 2026, Deneb Investments's Interest Expense was R-44 Mil. Its Operating Income was R163 Mil. And its Long-Term Debt & Capital Lease Obligation was R437 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*163.495/-43.961
=3.72

* 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 3.72 mean?
Deneb Investments (JSE:DNB) has a Interest Coverage of 3.72 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Deneb Investments and its competitors. This is 86% above median its historical median of 2.00. Over the past decade, Deneb Investments' Interest Coverage has ranged from 0.79 to 3.51. According to the industry distribution chart, Deneb Investments ranks #275 out of 426 companies in the Conglomerates industry, placing it in the top 64.6%.
Is Deneb Investments' Interest Coverage too high?
Deneb Investments' current Interest Coverage of 3.72 is 86% above median its 10-year median of 2.00. Over the past 10 years, this metric has ranged from a low of 0.79 to a high of 3.51. The Conglomerates industry median Interest Coverage is 5.31. Deneb Investments' value of 3.72 is 29.9% below this industry median. Based on the distribution chart, Deneb Investments ranks #275 out of 426 companies in the Conglomerates industry, which is below the industry midpoint. Overall, Deneb Investments has a GF Score™ of 75/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Deneb Investments' Interest Coverage compare to HON and MMM?
According to the Conglomerates industry distribution chart, Deneb Investments ranks #275 out of 426 companies for Interest Coverage. This places Deneb Investments in the lower half of its industry. The industry median Interest Coverage is 5.31. Deneb Investments' value of 3.72 is 29.9% below this benchmark. Historically, Deneb Investments' own Interest Coverage has ranged from 0.79 to 3.51 over the past decade. While the company's 10-year median is 2.00 vs. the industry median of 5.31, Deneb Investments 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 Conglomerates company?
The median Interest Coverage among Conglomerates companies is 5.31, based on 426 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. Deneb Investments's current Interest Coverage of 3.72 is 29.9% 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 Deneb Investments and its competitors. For the Conglomerates industry, the median Interest Coverage is 5.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Deneb Investments's current Interest Coverage is 3.72, which is 86% above median its own 10-year median of 2.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Deneb Investments stock overvalued right now?
Based on GuruFocus' analysis, Deneb Investments (JSE:DNB) is currently considered Fairly Valued. The stock's GF Value™ is R2.72, compared to a current price of R2.65 — trading 2.6% below its estimated fair value. The current Interest Coverage is 3.72, which is 86% above median its 10-year median of 2.00 and 29.9% below the Conglomerates industry median of 5.31. Deneb Investments' overall GF Score™ is 75/100 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 Deneb Investments (JSE:DNB), the current Interest Coverage is 3.72 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 Deneb Investments (JSE:DNB) Overvalued in 2026?

Based on GuruFocus' analysis, Deneb Investments stock appears to be undervalued. The current stock price of R2.65 is trading 2.6% below its estimated GF Value™ of R2.72. GuruFocus considers Deneb Investments to be Fairly Valued.

Key valuation signals for JSE:DNB:

  • Interest Coverage: 3.72 (86% above median its 10-year median of 2.00)
  • GF Value™: R2.72 vs. price of R2.65 (2.6% below fair value)
  • GF Score™: 75/100 with 6 warning signs
  • Industry Position: 29.9% below the Conglomerates median (#275 of 426)

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


Deneb Investments Business Description

Address 368 Main Road, 5th Floor, Deneb House, Observatory, Cape Town, WC, ZAF, 7925
Deneb Investments Ltd is a diversified investment company operating in southern Africa. The company's operating segment includes Properties; Industrial Product Manufacturing; Automotive Parts Manufacturing; and Branded Product Distribution. Industrial Product Manufacturing and Branded Product Distribution segments together contribute to the majority of the revenue. Its geographical segments include South Africa, Other African countries, Asia, Europe, North America, and South America, of which the majority of the revenue is generated from South Africa.
75GF Score

Get the complete analysis for JSE:DNB

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

R2.65
Price
R2.72
GF Value