Premier GroupJSE:PMR -0.32%61 Interest Coverage is 9.04 as of Mar. 2026, which is 83% above its 10-year median of 4.93. GuruFocus rates JSE:PMR with a GF Score™ of 61/100 and a GF Value™ of R143.97 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 254 Retail - Defensive companies, Premier Group ranks worse than 50.39% 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. Premier Group's
Operating Income
for the
six
months ended in Mar. 2026 was R1,226 Mil. Premier Group's Interest Expense for the
six
months ended in Mar. 2026 was R-136 Mil.
Premier Group's interest coverage for the quarter that ended in Mar. 2026 was 9.04.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Premier Group's Interest Coverage or its related term are showing as below:
JSE:PMR'
s Interest Coverage Range Over the Past 10 Years
Min: 3.79 Med: 4.93 Max: 8.79
Current: 8.79
JSE:PMR's Interest Coverage is ranked worse than 50.39% of 254
companies
in the Retail - Defensive industry
Industry Median: 8.795
vs JSE:PMR: 8.79
Premier Group (JSE:PMR) 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 .
Premier Group Interest Coverage Related Terms
Premier Group Interest Coverage Historical Data
* Premium members only.
The historical data trend for Premier 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.
For the Grocery Stores subindustry, Premier 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.
Premier Group Interest Coverage vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Premier Group's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Premier 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.
Premier Group (JSE:PMR) has a Interest Coverage of 9.04 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Premier Group and its competitors. This is 83% above median its historical median of 4.93. Over the past decade, Premier Group's Interest Coverage has ranged from 3.79 to 8.79. According to the industry distribution chart, Premier Group ranks #128 out of 254 companies in the Retail - Defensive industry, placing it in the top 50.4%.
Is Premier Group's Interest Coverage too high?
Premier Group's current Interest Coverage of 9.04 is 83% above median its 10-year median of 4.93. Over the past 10 years, this metric has ranged from a low of 3.79 to a high of 8.79. The Retail - Defensive industry median Interest Coverage is 8.80. Premier Group's value of 9.04 is 2.8% above this industry median. Based on the distribution chart, Premier Group ranks #128 out of 254 companies in the Retail - Defensive industry, which is below the industry midpoint. Overall, Premier Group has a GF Score™ of 61/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Premier Group's Interest Coverage compare to KR and SFM?
According to the Retail - Defensive industry distribution chart, Premier Group ranks #128 out of 254 companies for Interest Coverage. This places Premier Group in the lower half of its industry. The industry median Interest Coverage is 8.80. Premier Group's value of 9.04 is 2.8% above this benchmark. Historically, Premier Group's own Interest Coverage has ranged from 3.79 to 8.79 over the past decade. While the company's 10-year median is 4.93 vs. the industry median of 8.80, Premier 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 a Retail - Defensive company?
The median Interest Coverage among Retail - Defensive companies is 8.80, based on 254 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. Premier Group's current Interest Coverage of 9.04 is 2.8% 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 Premier Group and its competitors. For the Retail - Defensive industry, the median Interest Coverage is 8.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Premier Group's current Interest Coverage is 9.04, which is 83% above median its own 10-year median of 4.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Premier Group stock overvalued right now?
Based on GuruFocus' analysis, Premier Group (JSE:PMR) is currently considered Significantly Overvalued. The stock's GF Value™ is R143.97, compared to a current price of R194.37 — trading 35% above its estimated fair value. The current Interest Coverage is 9.04, which is 83% above median its 10-year median of 4.93 and 2.8% above the Retail - Defensive industry median of 8.80. Premier Group's overall GF Score™ is 61/100 with 4 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 Premier Group (JSE:PMR), the current Interest Coverage is 9.04 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 Premier Group (JSE:PMR) Overvalued in 2026?
Based on GuruFocus' analysis, Premier Group stock appears to be overvalued.
The current stock price of R194.37 is trading 35% above its estimated GF Value™ of R143.97.
GuruFocus considers Premier Group to be Significantly Overvalued.
Key valuation signals for JSE:PMR:
Interest Coverage: 9.04 (83% above median its 10-year median of 4.93)
GF Value™: R143.97 vs. price of R194.37 (35% above fair value)
Industry Position: 2.8% above the Retail - Defensive median (#128 of 254)
No single metric tells the full story. See the JSE:PMR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Premier Group Ltd is engaged in the manufacturing and distribution of staple milling and baking products, confectionery and home and personal care (HPC) products. The company is organized into two segments Millbake and Groceries and International. It derives maximum revenue from Millbake segment.
61GF Score
Get the complete analysis for JSE:PMR
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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