Kodiak Gas ServicesKGS +3.54%47 Interest Coverage is 2.22 as of Mar. 2026, which is 51% above its 10-year median of 1.47. GuruFocus rates KGS with a GF Score™ of 47/100 and a GF Value™ of $37.21 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 728 Oil & Gas companies, Kodiak Gas Services ranks worse than 78.02% 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. Kodiak Gas Services's
Operating Income
for the
three
months ended in Mar. 2026 was $108 Mil. Kodiak Gas Services's Interest Expense for the
three
months ended in Mar. 2026 was $-49 Mil.
Kodiak Gas Services's interest coverage for the quarter that ended in Mar. 2026 was 2.22.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Kodiak Gas Services's Interest Coverage or its related term are showing as below:
KGS'
s Interest Coverage Range Over the Past 10 Years
Min: 1.09 Med: 1.47 Max: 2.35
Current: 2.09
KGS's Interest Coverage is ranked worse than 78.02% of 728
companies
in the Oil & Gas industry
Industry Median: 5.885
vs KGS: 2.09
Kodiak Gas Services (NYSE:KGS) 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 .
Kodiak Gas Services Interest Coverage Related Terms
Kodiak Gas Services Interest Coverage Historical Data
* Premium members only.
The historical data trend for Kodiak Gas Services'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.
KGS vs NOV, WFRD, AROC: Interest Coverage Comparison
For the Oil & Gas Equipment & Services subindustry, Kodiak Gas Services'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.
Kodiak Gas Services Interest Coverage vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Kodiak Gas Services's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Kodiak Gas Services'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.
Kodiak Gas Services (KGS) has a Interest Coverage of 2.22 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Kodiak Gas Services and its competitors. This is 51% above median its historical median of 1.47. Over the past decade, Kodiak Gas Services' Interest Coverage has ranged from 1.09 to 2.35. According to the industry distribution chart, Kodiak Gas Services ranks #568 out of 728 companies in the Oil & Gas industry, placing it in the top 78%.
Is Kodiak Gas Services' Interest Coverage too high?
Kodiak Gas Services' current Interest Coverage of 2.22 is 51% above median its 10-year median of 1.47. Over the past 10 years, this metric has ranged from a low of 1.09 to a high of 2.35. The Oil & Gas industry median Interest Coverage is 5.89. Kodiak Gas Services' value of 2.22 is 62.3% below this industry median. Based on the distribution chart, Kodiak Gas Services ranks #568 out of 728 companies in the Oil & Gas industry, which is in the bottom quartile relative to peers. Overall, Kodiak Gas Services has a GF Score™ of 47/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kodiak Gas Services' Interest Coverage compare to NOV and WFRD?
According to the Oil & Gas industry distribution chart, Kodiak Gas Services ranks #568 out of 728 companies for Interest Coverage. This places Kodiak Gas Services in the lower half of its industry. The industry median Interest Coverage is 5.89. Kodiak Gas Services' value of 2.22 is 62.3% below this benchmark. Historically, Kodiak Gas Services' own Interest Coverage has ranged from 1.09 to 2.35 over the past decade. While the company's 10-year median is 1.47 vs. the industry median of 5.89, Kodiak Gas Services 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 Oil & Gas company?
The median Interest Coverage among Oil & Gas companies is 5.89, based on 728 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. Kodiak Gas Services's current Interest Coverage of 2.22 is 62.3% 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 Kodiak Gas Services and its competitors. For the Oil & Gas industry, the median Interest Coverage is 5.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kodiak Gas Services's current Interest Coverage is 2.22, which is 51% above median its own 10-year median of 1.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kodiak Gas Services stock overvalued right now?
Based on GuruFocus' analysis, Kodiak Gas Services (KGS) is currently considered Significantly Overvalued. The stock's GF Value™ is $37.21, compared to a current price of $73.15 — trading 96.6% above its estimated fair value. The current Interest Coverage is 2.22, which is 51% above median its 10-year median of 1.47 and 62.3% below the Oil & Gas industry median of 5.89. Kodiak Gas Services' overall GF Score™ is 47/100 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 Kodiak Gas Services (KGS), the current Interest Coverage is 2.22 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 Kodiak Gas Services (KGS) Overvalued in 2026?
Based on GuruFocus' analysis, Kodiak Gas Services stock appears to be overvalued.
The current stock price of $73.15 is trading 96.6% above its estimated GF Value™ of $37.21.
GuruFocus considers Kodiak Gas Services to be Significantly Overvalued.
Key valuation signals for KGS:
Interest Coverage: 2.22 (51% above median its 10-year median of 1.47)
GF Value™: $37.21 vs. price of $73.15 (96.6% above fair value)
Industry Position: 62.3% below the Oil & Gas median (#568 of 728)
No single metric tells the full story. See the KGS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kodiak Gas Services Inc is an operator of contract compression infrastructure in the United States. The company manages its business through two operating segments: Contract Services and Other Services. Contract Services consists of operating company-owned and customer-owned compression, gas treating, and cooling infrastructure, pursuant to fixed-revenue contracts to enable the production and gathering of natural gas and oil. Other Services consist of a full range of contract services to support the ancillary needs of customers, including station construction, maintenance and overhaul, freight and crane charges, and other time and material-based offerings. Maximum revenue for the company is generated from its Contract Services segment.
47GF Score
Get the complete analysis for KGS
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
KGS has been successfully added to your 
