Kuwait Telecommunications Co KSC (KUW:STC) Interest Coverage: 18.30 (As of Mar. 2026) — 27% Below Median


KUW:STC Kuwait Telecommunications Co KSC KUW:STC
56 GF Score
Price KWD0.64
GF Value KWD0.58
Valuation Modestly Overvalued
! 9 Warning Signs
View Full Analysis

What is Kuwait Telecommunications Co KSC Interest Coverage?

Kuwait Telecommunications Co KSC KUW:STC -3.01% 56 Interest Coverage is 18.30 as of Mar. 2026, which is 27% below its 10-year median of 25.18. GuruFocus rates KUW:STC with a GF Score™ of 56/100 and a GF Value™ of KWD0.58 (Modestly Overvalued). The stock has 9 warning signs investors should review. Among 284 Telecommunication Services companies, Kuwait Telecommunications Co KSC ranks better than 77.11% 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. Kuwait Telecommunications Co KSC's Operating Income for the three months ended in Mar. 2026 was KWD10.0 Mil. Kuwait Telecommunications Co KSC's Interest Expense for the three months ended in Mar. 2026 was KWD-0.5 Mil. Kuwait Telecommunications Co KSC's interest coverage for the quarter that ended in Mar. 2026 was 18.30. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Kuwait Telecommunications Co KSC's Interest Coverage or its related term are showing as below:

KUW:STC' s Interest Coverage Range Over the Past 10 Years
Min: 11.08   Med: 25.18   Max: 446.06
Current: 16.96


KUW:STC's Interest Coverage is ranked better than
77.11% of 284 companies
in the Telecommunication Services industry
Industry Median: 4.685 vs KUW:STC: 16.96

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


Kuwait Telecommunications Co KSC  (KUW:STC) 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 .


Kuwait Telecommunications Co KSC Interest Coverage Related Terms


Kuwait Telecommunications Co KSC Interest Coverage Historical Data

* Premium members only.

The historical data trend for Kuwait Telecommunications Co KSC'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.

Kuwait Telecommunications Co KSC Interest Coverage Chart

Kuwait Telecommunications Co KSC Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.08 22.95 16.90 12.65 16.62

Kuwait Telecommunications Co KSC Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 16.93 16.14 16.49 17.02 18.30

KUW:STC vs TMUS, VZ, T: Interest Coverage Comparison

For the Telecom Services subindustry, Kuwait Telecommunications Co KSC'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.


Kuwait Telecommunications Co KSC Interest Coverage vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Kuwait Telecommunications Co KSC's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Kuwait Telecommunications Co KSC's Interest Coverage falls into.


KUW:STC
56GF Score
Kuwait Telecommunications Co KSC KUW:STC
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kuwait Telecommunications Co KSC 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.

Kuwait Telecommunications Co KSC's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Kuwait Telecommunications Co KSC's Interest Expense was KWD-2.2 Mil. Its Operating Income was KWD37.0 Mil. And its Long-Term Debt & Capital Lease Obligation was KWD24.2 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*36.956/-2.223
=16.62

Kuwait Telecommunications Co KSC's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Kuwait Telecommunications Co KSC's Interest Expense was KWD-0.5 Mil. Its Operating Income was KWD10.0 Mil. And its Long-Term Debt & Capital Lease Obligation was KWD23.4 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*10.046/-0.549
=18.30

* 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 18.30 mean?
Kuwait Telecommunications Co KSC (KUW:STC) has a Interest Coverage of 18.30 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Kuwait Telecommunications Co KSC and its competitors. This is 27% below median its historical median of 25.18. Over the past decade, Kuwait Telecommunications Co KSC's Interest Coverage has ranged from 11.08 to 446.06. According to the industry distribution chart, Kuwait Telecommunications Co KSC ranks #65 out of 284 companies in the Telecommunication Services industry, placing it in the top 22.9%.
Is Kuwait Telecommunications Co KSC's Interest Coverage too high?
Kuwait Telecommunications Co KSC's current Interest Coverage of 18.30 is 27% below median its 10-year median of 25.18. Over the past 10 years, this metric has ranged from a low of 11.08 to a high of 446.06. The Telecommunication Services industry median Interest Coverage is 4.69. Kuwait Telecommunications Co KSC's value of 18.30 is 290.6% above this industry median. Based on the distribution chart, Kuwait Telecommunications Co KSC ranks #65 out of 284 companies in the Telecommunication Services industry, which is in the top quartile — a strong position relative to peers. Overall, Kuwait Telecommunications Co KSC has a GF Score™ of 56/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kuwait Telecommunications Co KSC's Interest Coverage compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Kuwait Telecommunications Co KSC ranks #65 out of 284 companies for Interest Coverage. This places Kuwait Telecommunications Co KSC in the top 23% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 4.69. Kuwait Telecommunications Co KSC's value of 18.30 is 290.6% above this benchmark. Historically, Kuwait Telecommunications Co KSC's own Interest Coverage has ranged from 11.08 to 446.06 over the past decade. While the company's 10-year median is 25.18 vs. the industry median of 4.69, Kuwait Telecommunications Co KSC 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 Telecommunication Services company?
The median Interest Coverage among Telecommunication Services companies is 4.69, based on 284 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. Kuwait Telecommunications Co KSC's current Interest Coverage of 18.30 is 290.6% 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 Kuwait Telecommunications Co KSC and its competitors. For the Telecommunication Services industry, the median Interest Coverage is 4.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kuwait Telecommunications Co KSC's current Interest Coverage is 18.30, which is 27% below median its own 10-year median of 25.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kuwait Telecommunications Co KSC stock overvalued right now?
Based on GuruFocus' analysis, Kuwait Telecommunications Co KSC (KUW:STC) is currently considered Modestly Overvalued. The stock's GF Value™ is KWD0.58, compared to a current price of KWD0.64 — trading 11% above its estimated fair value. The current Interest Coverage is 18.30, which is 27% below median its 10-year median of 25.18 and 290.6% above the Telecommunication Services industry median of 4.69. Kuwait Telecommunications Co KSC's overall GF Score™ is 56/100 with 9 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 Kuwait Telecommunications Co KSC (KUW:STC), the current Interest Coverage is 18.30 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 Kuwait Telecommunications Co KSC (KUW:STC) Overvalued in 2026?

Based on GuruFocus' analysis, Kuwait Telecommunications Co KSC stock appears to be overvalued. The current stock price of KWD0.64 is trading 11% above its estimated GF Value™ of KWD0.58. GuruFocus considers Kuwait Telecommunications Co KSC to be Modestly Overvalued.

Key valuation signals for KUW:STC:

  • Interest Coverage: 18.30 (27% below median its 10-year median of 25.18)
  • GF Value™: KWD0.58 vs. price of KWD0.64 (11% above fair value)
  • GF Score™: 56/100 with 9 warning signs
  • Industry Position: 290.6% above the Telecommunication Services median (#65 of 284)

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


Kuwait Telecommunications Co KSC Business Description

Address Al-Khansa Street, P.O. Box. 181, Olympia Building, Salmiya, KWT, 22002
Kuwait Telecommunications Co KSC is a telecommunication service provider. The company provides internet access using 4G LTE technology, and 5G technology. The principal activities of the company are to purchase, supply, install, operate, and maintain wireless telecommunication devices and equipment. The company offers numerous opportunities in the field of telecommunications, entertainment, information, digital, and data transfer services. The Group has identified Consumer (i.e., Individual customers) and Enterprise (i.e., Corporates & others) as operating segments.
56GF Score

Get the complete analysis for KUW:STC

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

KWD0.64
Price
KWD0.58
GF Value