Octodec Investments (JSE:OCT) Interest Coverage: 2.23 (As of Feb. 2026) — Near Median


JSE:OCT Octodec Investments Ltd JSE:OCT
66 GF Score
Price R17.60
GF Value R11.11
Valuation Significantly Overvalued
! 10 Warning Signs
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What is Octodec Investments Interest Coverage?

Octodec Investments JSE:OCT +2.33% 66 Interest Coverage is 2.23 as of Feb. 2026, which is 5% above its 10-year median of 2.12. GuruFocus rates JSE:OCT with a GF Score™ of 66/100 and a GF Value™ of R11.11 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 699 REITs companies, Octodec Investments ranks worse than 67.95% 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. Octodec Investments's Operating Income for the six months ended in Feb. 2026 was R427 Mil. Octodec Investments's Interest Expense for the six months ended in Feb. 2026 was R-191 Mil. Octodec Investments's interest coverage for the quarter that ended in Feb. 2026 was 2.23. The higher the ratio, the stronger the company's financial strength is.

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

JSE:OCT' s Interest Coverage Range Over the Past 10 Years
Min: 1.79   Med: 2.12   Max: 2.24
Current: 2.09


JSE:OCT's Interest Coverage is ranked worse than
67.95% of 699 companies
in the REITs industry
Industry Median: 3.11 vs JSE:OCT: 2.09

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


Octodec Investments  (JSE:OCT) 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 .


Octodec Investments Interest Coverage Related Terms


Octodec Investments Interest Coverage Historical Data

* Premium members only.

The historical data trend for Octodec 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.

Octodec Investments Interest Coverage Chart

Octodec Investments Annual Data
Trend Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.02 2.21 2.00 1.79 1.98

Octodec Investments Semi-Annual Data
Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
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 2.06 1.59 1.99 1.97 2.23

JSE:OCT vs VICI, WPC: Interest Coverage Comparison

For the REIT - Diversified subindustry, Octodec 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.


Octodec Investments Interest Coverage vs REITs Industry

For the REITs industry and Real Estate sector, Octodec Investments's Interest Coverage distribution charts can be found below:

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


JSE:OCT
66GF Score
Octodec Investments Ltd JSE:OCT
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Octodec 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.

Octodec Investments's Interest Coverage for the fiscal year that ended in Aug. 2025 is calculated as

Here, for the fiscal year that ended in Aug. 2025, Octodec Investments's Interest Expense was R-427 Mil. Its Operating Income was R847 Mil. And its Long-Term Debt & Capital Lease Obligation was R3,754 Mil.

Interest Coverage=-1* Operating Income (A: Aug. 2025 )/Interest Expense (A: Aug. 2025 )
=-1*846.778/-427.041
=1.98

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

Here, for the six months ended in Feb. 2026, Octodec Investments's Interest Expense was R-191 Mil. Its Operating Income was R427 Mil. And its Long-Term Debt & Capital Lease Obligation was R3,975 Mil.

Interest Coverage=-1* Operating Income (Q: Feb. 2026 )/Interest Expense (Q: Feb. 2026 )
=-1*426.968/-191.484
=2.23

* 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 2.23 mean?
Octodec Investments (JSE:OCT) has a Interest Coverage of 2.23 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Octodec Investments and its competitors. This is near median its historical median of 2.12. Over the past decade, Octodec Investments' Interest Coverage has ranged from 1.79 to 2.24. According to the industry distribution chart, Octodec Investments ranks #475 out of 699 companies in the REITs industry, placing it in the top 68%.
Is Octodec Investments' Interest Coverage too high?
Octodec Investments' current Interest Coverage of 2.23 is near median its 10-year median of 2.12. Over the past 10 years, this metric has ranged from a low of 1.79 to a high of 2.24. The REITs industry median Interest Coverage is 3.11. Octodec Investments' value of 2.23 is 28.3% below this industry median. Based on the distribution chart, Octodec Investments ranks #475 out of 699 companies in the REITs industry, which is below the industry midpoint. Overall, Octodec Investments has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Octodec Investments' Interest Coverage compare to VICI and WPC?
According to the REITs industry distribution chart, Octodec Investments ranks #475 out of 699 companies for Interest Coverage. This places Octodec Investments in the lower half of its industry. The industry median Interest Coverage is 3.11. Octodec Investments' value of 2.23 is 28.3% below this benchmark. Historically, Octodec Investments' own Interest Coverage has ranged from 1.79 to 2.24 over the past decade. While the company's 10-year median is 2.12 vs. the industry median of 3.11, Octodec 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 REITs company?
The median Interest Coverage among REITs companies is 3.11, based on 699 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. Octodec Investments's current Interest Coverage of 2.23 is 28.3% 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 Octodec Investments and its competitors. For the REITs industry, the median Interest Coverage is 3.11 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Octodec Investments's current Interest Coverage is 2.23, which is near median its own 10-year median of 2.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Octodec Investments stock overvalued right now?
Based on GuruFocus' analysis, Octodec Investments (JSE:OCT) is currently considered Significantly Overvalued. The stock's GF Value™ is R11.11, compared to a current price of R17.60 — trading 58.4% above its estimated fair value. The current Interest Coverage is 2.23, which is near median its 10-year median of 2.12 and 28.3% below the REITs industry median of 3.11. Octodec Investments' overall GF Score™ is 66/100 with 10 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 Octodec Investments (JSE:OCT), the current Interest Coverage is 2.23 as of Feb. 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 Octodec Investments (JSE:OCT) Overvalued in 2026?

Based on GuruFocus' analysis, Octodec Investments stock appears to be overvalued. The current stock price of R17.60 is trading 58.4% above its estimated GF Value™ of R11.11. GuruFocus considers Octodec Investments to be Significantly Overvalued.

Key valuation signals for JSE:OCT:

  • Interest Coverage: 2.23 (near median its 10-year median of 2.12)
  • GF Value™: R11.11 vs. price of R17.60 (58.4% above fair value)
  • GF Score™: 66/100 with 10 warning signs
  • Industry Position: 28.3% below the REITs median (#475 of 699)

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


Octodec Investments Business Description

Industry Real EstateREITs
Address 101 Du Toit Street, CPA House, Tshwane, Pretoria, GT, ZAF, 0002
Octodec Investments Ltd is a real estate investment trust (REIT). The company generates rental income from Residential, Retail - street shops, Retail - shopping centres, offices, industrial, and parking, where the majority of its revenue is from the Residential segment. The diversified portfolio comprises residential, retail, office, and industrial properties.
66GF Score

Get the complete analysis for JSE:OCT

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

R17.60
Price
R11.11
GF Value