Engro FertilizersKAR:EFERT 82 Interest Coverage is 4.65 as of Mar. 2026, which is 50% below its 10-year median of 9.24. GuruFocus rates KAR:EFERT with a GF Score™ of 82/100 and a GF Value™ of ₨194.96 (Fairly Valued). The stock has 8 warning signs investors should review. Among 198 Agriculture companies, Engro Fertilizers ranks worse than 52.53% 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. Engro Fertilizers's
Operating Income
for the
three
months ended in Mar. 2026 was ₨6,637 Mil. Engro Fertilizers's Interest Expense for the
three
months ended in Mar. 2026 was ₨-1,427 Mil.
Engro Fertilizers's interest coverage for the quarter that ended in Mar. 2026 was 4.65.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Engro Fertilizers's Interest Coverage or its related term are showing as below:
KAR:EFERT'
s Interest Coverage Range Over the Past 10 Years
Min: 5.33 Med: 9.24 Max: 36.32
Current: 6.81
KAR:EFERT's Interest Coverage is ranked worse than 52.53% of 198
companies
in the Agriculture industry
Industry Median: 7.24
vs KAR:EFERT: 6.81
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 .
Engro Fertilizers Interest Coverage Related Terms
Engro Fertilizers Interest Coverage Historical Data
* Premium members only.
The historical data trend for Engro Fertilizers'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.
KAR:EFERT vs CTVA, CF, MOS: Interest Coverage Comparison
For the Agricultural Inputs subindustry, Engro Fertilizers'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.
Engro Fertilizers Interest Coverage vs Agriculture Industry
For the Agriculture industry and Basic Materials sector, Engro Fertilizers's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Engro Fertilizers'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.
Engro Fertilizers (KAR:EFERT) has a Interest Coverage of 4.65 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Engro Fertilizers and its competitors. This is 50% below median its historical median of 9.24. Over the past decade, Engro Fertilizers' Interest Coverage has ranged from 5.33 to 36.32. According to the industry distribution chart, Engro Fertilizers ranks #104 out of 198 companies in the Agriculture industry, placing it in the top 52.5%.
Is Engro Fertilizers' Interest Coverage too high?
Engro Fertilizers' current Interest Coverage of 4.65 is 50% below median its 10-year median of 9.24. Over the past 10 years, this metric has ranged from a low of 5.33 to a high of 36.32. The Agriculture industry median Interest Coverage is 7.24. Engro Fertilizers' value of 4.65 is 35.8% below this industry median. Based on the distribution chart, Engro Fertilizers ranks #104 out of 198 companies in the Agriculture industry, which is below the industry midpoint. Overall, Engro Fertilizers has a GF Score™ of 82/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Engro Fertilizers' Interest Coverage compare to CTVA and CF?
According to the Agriculture industry distribution chart, Engro Fertilizers ranks #104 out of 198 companies for Interest Coverage. This places Engro Fertilizers in the lower half of its industry. The industry median Interest Coverage is 7.24. Engro Fertilizers' value of 4.65 is 35.8% below this benchmark. Historically, Engro Fertilizers' own Interest Coverage has ranged from 5.33 to 36.32 over the past decade. While the company's 10-year median is 9.24 vs. the industry median of 7.24, Engro Fertilizers 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 Agriculture company?
The median Interest Coverage among Agriculture companies is 7.24, based on 198 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. Engro Fertilizers's current Interest Coverage of 4.65 is 35.8% 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 Engro Fertilizers and its competitors. For the Agriculture industry, the median Interest Coverage is 7.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Engro Fertilizers's current Interest Coverage is 4.65, which is 50% below median its own 10-year median of 9.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Engro Fertilizers stock overvalued right now?
Based on GuruFocus' analysis, Engro Fertilizers (KAR:EFERT) is currently considered Fairly Valued. The stock's GF Value™ is ₨194.96, compared to a current price of ₨200.21 — trading 2.7% above its estimated fair value. The current Interest Coverage is 4.65, which is 50% below median its 10-year median of 9.24 and 35.8% below the Agriculture industry median of 7.24. Engro Fertilizers' overall GF Score™ is 82/100 with 8 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 Engro Fertilizers (KAR:EFERT), the current Interest Coverage is 4.65 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 Engro Fertilizers (KAR:EFERT) Overvalued in 2026?
Based on GuruFocus' analysis, Engro Fertilizers stock appears to be overvalued.
The current stock price of ₨200.21 is trading 2.7% above its estimated GF Value™ of ₨194.96.
GuruFocus considers Engro Fertilizers to be Fairly Valued.
Key valuation signals for KAR:EFERT:
Interest Coverage: 4.65 (50% below median its 10-year median of 9.24)
GF Value™: ₨194.96 vs. price of ₨200.21 (2.7% above fair value)
Industry Position: 35.8% below the Agriculture median (#104 of 198)
No single metric tells the full story. See the KAR:EFERT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Engro Fertilizers Ltd is a Pakistan-based company mainly involved in the manufacturing, purchasing, and marketing of fertilizers, seeds, and pesticides and providing logistics services. It segments include: Straight Fertilizers (Engro Urea, Phosphatic Fertilizers); Specialty Fertilizer (Engro Zabardast Urea, Zarkhez grades), and Agri services including site specific recommendations. The company offers different ranges of products under brand names such as Engro Urea, Engro DAP, Engro TSP, Engro Zorawar, Engro Zarkhez, Engro Zarkhez Plus, and Engro Zarkhez Khaas.
82GF Score
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