Indus Motor CoKAR:INDU +0.42%83 Interest Coverage is 168.94 as of Mar. 2026, which is 65% below its 10-year median of 488.20. GuruFocus rates KAR:INDU with a GF Score™ of 83/100 and a GF Value™ of ₨2,447.49 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 1,066 Vehicles & Parts companies, Indus Motor Co ranks better than 97.56% 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. Indus Motor Co's
Operating Income
for the
three
months ended in Mar. 2026 was ₨8,840 Mil. Indus Motor Co's Interest Expense for the
three
months ended in Mar. 2026 was ₨-52 Mil.
Indus Motor Co's interest coverage for the quarter that ended in Mar. 2026 was 168.94.
The higher the ratio, the stronger the company's financial strength is.
Good Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Indus Motor Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.
The historical rank and industry rank for Indus Motor Co's Interest Coverage or its related term are showing as below:
KAR:INDU'
s Interest Coverage Range Over the Past 10 Years
Min: 49.18 Med: 488.2 Max: 204676.03
Current: 1434.11
KAR:INDU's Interest Coverage is ranked better than 97.56% of 1066
companies
in the Vehicles & Parts industry
Industry Median: 8.295
vs KAR:INDU: 1434.11
Indus Motor Co (KAR:INDU) 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 .
Indus Motor Co Interest Coverage Related Terms
Indus Motor Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for Indus Motor Co'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:INDU vs TSLA, GM, F: Interest Coverage Comparison
For the Auto Manufacturers subindustry, Indus Motor Co'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.
Indus Motor Co Interest Coverage vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Indus Motor Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Indus Motor Co'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.
Indus Motor Co (KAR:INDU) has a Interest Coverage of 168.94 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Indus Motor Co and its competitors. This is 65% below median its historical median of 488.20. Over the past decade, Indus Motor Co's Interest Coverage has ranged from 49.18 to 204,676.03. According to the industry distribution chart, Indus Motor Co ranks #26 out of 1066 companies in the Vehicles & Parts industry, placing it in the top 2.4%.
Is Indus Motor Co's Interest Coverage too high?
Indus Motor Co's current Interest Coverage of 168.94 is 65% below median its 10-year median of 488.20. Over the past 10 years, this metric has ranged from a low of 49.18 to a high of 204,676.03. The Vehicles & Parts industry median Interest Coverage is 8.30. Indus Motor Co's value of 168.94 is 1936.6% above this industry median. Based on the distribution chart, Indus Motor Co ranks #26 out of 1066 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Indus Motor Co has a GF Score™ of 83/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Indus Motor Co's Interest Coverage compare to TSLA and GM?
According to the Vehicles & Parts industry distribution chart, Indus Motor Co ranks #26 out of 1066 companies for Interest Coverage. This places Indus Motor Co in the top 2% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 8.30. Indus Motor Co's value of 168.94 is 1936.6% above this benchmark. Historically, Indus Motor Co's own Interest Coverage has ranged from 49.18 to 204,676.03 over the past decade. While the company's 10-year median is 488.20 vs. the industry median of 8.30, Indus Motor Co 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.30, based on 1,066 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. Indus Motor Co's current Interest Coverage of 168.94 is 1936.6% 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 Indus Motor Co and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Indus Motor Co's current Interest Coverage is 168.94, which is 65% below median its own 10-year median of 488.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Indus Motor Co stock overvalued right now?
Based on GuruFocus' analysis, Indus Motor Co (KAR:INDU) is currently considered Modestly Undervalued. The stock's GF Value™ is ₨2,447.49, compared to a current price of ₨2,079.03 — trading 15.1% below its estimated fair value. The current Interest Coverage is 168.94, which is 65% below median its 10-year median of 488.20 and 1936.6% above the Vehicles & Parts industry median of 8.30. Indus Motor Co's overall GF Score™ is 83/100 with 1 warning sign 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 Indus Motor Co (KAR:INDU), the current Interest Coverage is 168.94 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 Indus Motor Co (KAR:INDU) Overvalued in 2026?
Based on GuruFocus' analysis, Indus Motor Co stock appears to be undervalued.
The current stock price of ₨2,079.03 is trading 15.1% below its estimated GF Value™ of ₨2,447.49.
GuruFocus considers Indus Motor Co to be Modestly Undervalued.
Key valuation signals for KAR:INDU:
Interest Coverage: 168.94 (65% below median its 10-year median of 488.20)
GF Value™: ₨2,447.49 vs. price of ₨2,079.03 (15.1% below fair value)
Industry Position: 1936.6% above the Vehicles & Parts median (#26 of 1066)
No single metric tells the full story. See the KAR:INDU stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Indus Motor Co Ltd manufactures and markets Toyota brand vehicles in Pakistan. It offers passenger cars, light commercial vehicles, and sports utility under Corolla, Hilux, and Fortuner brand names. In addition, the company also offers parts, lubricants, and chemicals, as well as after-sales services.
83GF Score
Get the complete analysis for KAR:INDU
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