QualcommLIM:QCOM 80 Interest Coverage is 13.50 as of Mar. 2026, which is 1% below its 10-year median of 13.59. GuruFocus rates LIM:QCOM with a GF Score™ of 80/100 and a GF Value™ of $206.12 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 638 Semiconductors companies, Qualcomm ranks worse than 54.39% 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. Qualcomm's
Operating Income
for the
three
months ended in Mar. 2026 was $2,309 Mil. Qualcomm's Interest Expense for the
three
months ended in Mar. 2026 was $-171 Mil.
Qualcomm's interest coverage for the quarter that ended in Mar. 2026 was 13.50.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Qualcomm's Interest Coverage or its related term are showing as below:
LIM:QCOM'
s Interest Coverage Range Over the Past 10 Years
Min: 0.81 Med: 13.59 Max: 32.37
Current: 16.78
LIM:QCOM's Interest Coverage is ranked worse than 54.39% of 638
companies
in the Semiconductors industry
Industry Median: 20.225
vs LIM:QCOM: 16.78
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 .
Qualcomm Interest Coverage Related Terms
Qualcomm Interest Coverage Historical Data
* Premium members only.
The historical data trend for Qualcomm'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.
LIM:QCOM vs TXN, ADI, MRVL: Interest Coverage Comparison
For the Semiconductors subindustry, Qualcomm'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.
Qualcomm Interest Coverage vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Qualcomm's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Qualcomm'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.
Qualcomm (LIM:QCOM) has a Interest Coverage of 13.50 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Qualcomm and its competitors. This is near median its historical median of 13.59. Over the past decade, Qualcomm's Interest Coverage has ranged from 0.81 to 32.37. According to the industry distribution chart, Qualcomm ranks #347 out of 638 companies in the Semiconductors industry, placing it in the top 54.4%.
Is Qualcomm's Interest Coverage too high?
Qualcomm's current Interest Coverage of 13.50 is near median its 10-year median of 13.59. Over the past 10 years, this metric has ranged from a low of 0.81 to a high of 32.37. The Semiconductors industry median Interest Coverage is 20.23. Qualcomm's value of 13.50 is 33.3% below this industry median. Based on the distribution chart, Qualcomm ranks #347 out of 638 companies in the Semiconductors industry, which is below the industry midpoint. Overall, Qualcomm has a GF Score™ of 80/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Qualcomm's Interest Coverage compare to TXN and ADI?
According to the Semiconductors industry distribution chart, Qualcomm ranks #347 out of 638 companies for Interest Coverage. This places Qualcomm in the lower half of its industry. The industry median Interest Coverage is 20.23. Qualcomm's value of 13.50 is 33.3% below this benchmark. Historically, Qualcomm's own Interest Coverage has ranged from 0.81 to 32.37 over the past decade. While the company's 10-year median is 13.59 vs. the industry median of 20.23, Qualcomm 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 a Semiconductors company?
The median Interest Coverage among Semiconductors companies is 20.23, based on 638 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. Qualcomm's current Interest Coverage of 13.50 is 33.3% 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 Qualcomm and its competitors. For the Semiconductors industry, the median Interest Coverage is 20.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Qualcomm's current Interest Coverage is 13.50, which is near median its own 10-year median of 13.59. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Qualcomm stock overvalued right now?
Based on GuruFocus' analysis, Qualcomm (LIM:QCOM) is currently considered Modestly Overvalued. The stock's GF Value™ is $206.12, compared to a current price of $232.06 — trading 12.6% above its estimated fair value. The current Interest Coverage is 13.50, which is near median its 10-year median of 13.59 and 33.3% below the Semiconductors industry median of 20.23. Qualcomm's overall GF Score™ is 80/100 with 3 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 Qualcomm (LIM:QCOM), the current Interest Coverage is 13.50 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 Qualcomm (LIM:QCOM) Overvalued in 2026?
Based on GuruFocus' analysis, Qualcomm stock appears to be overvalued.
The current stock price of $232.06 is trading 12.6% above its estimated GF Value™ of $206.12.
GuruFocus considers Qualcomm to be Modestly Overvalued.
Key valuation signals for LIM:QCOM:
Interest Coverage: 13.50 (near median its 10-year median of 13.59)
GF Value™: $206.12 vs. price of $232.06 (12.6% above fair value)
Industry Position: 33.3% below the Semiconductors median (#347 of 638)
No single metric tells the full story. See the LIM:QCOM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Qualcomm develops and licenses wireless technology and designs chips for smartphones. The company's key patents revolve around CDMA and OFDMA technologies, which are standards in wireless communications that are the backbone of all 3G, 4G, and 5G networks. Qualcomm's IP is licensed by virtually all wireless device makers. The firm is also the world's largest wireless chip vendor, supplying nearly every premier handset maker with leading-edge processors. Qualcomm also sells RF-front end modules into smartphones, as well as chips into automotive and Internet of Things markets.
80GF Score
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