Ignitis Group AB (LSE:IGN) Interest Coverage: 6.89 (As of Mar. 2026) — 19% Below Median


LSE:IGN Ignitis Group AB LSE:IGN
75 GF Score
Price €20.80
GF Value €21.58
Valuation Fairly Valued
! 10 Warning Signs
View Full Analysis

What is Ignitis Group AB Interest Coverage?

Ignitis Group AB LSE:IGN -2.80% 75 Interest Coverage is 6.89 as of Mar. 2026, which is 19% below its 10-year median of 8.48. GuruFocus rates LSE:IGN with a GF Score™ of 75/100 and a GF Value™ of €21.58 (Fairly Valued). The stock has 10 warning signs investors should review. Among 449 Utilities - Regulated companies, Ignitis Group AB ranks worse than 52.56% 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. Ignitis Group AB's Operating Income for the three months ended in Mar. 2026 was €112 Mil. Ignitis Group AB's Interest Expense for the three months ended in Mar. 2026 was €-16 Mil. Ignitis Group AB's interest coverage for the quarter that ended in Mar. 2026 was 6.89. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Ignitis Group AB interest coverage is 3.52, which is low.

The historical rank and industry rank for Ignitis Group AB's Interest Coverage or its related term are showing as below:

LSE:IGN' s Interest Coverage Range Over the Past 10 Years
Min: 0.96   Med: 8.48   Max: 15.46
Current: 3.52


LSE:IGN's Interest Coverage is ranked worse than
52.56% of 449 companies
in the Utilities - Regulated industry
Industry Median: 3.78 vs LSE:IGN: 3.52

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


Ignitis Group AB  (LSE:IGN) 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 .


Ignitis Group AB Interest Coverage Related Terms


Ignitis Group AB Interest Coverage Historical Data

* Premium members only.

The historical data trend for Ignitis Group AB'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.

Ignitis Group AB Interest Coverage Chart

Ignitis Group AB Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only 8.48 14.21 10.47 7.61 5.04

Ignitis Group AB 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 8.88 2.40 2.11 3.15 6.89

LSE:IGN vs SRE, AES: Interest Coverage Comparison

For the Utilities - Diversified subindustry, Ignitis Group AB'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.


Ignitis Group AB Interest Coverage vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Ignitis Group AB's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Ignitis Group AB's Interest Coverage falls into.


LSE:IGN
75GF Score
Ignitis Group AB LSE:IGN
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Ignitis Group AB 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.

Ignitis Group AB'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, Ignitis Group AB's Interest Expense was €-52 Mil. Its Operating Income was €262 Mil. And its Long-Term Debt & Capital Lease Obligation was €1,986 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*262.3/-52
=5.04

Ignitis Group AB's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Ignitis Group AB's Interest Expense was €-16 Mil. Its Operating Income was €112 Mil. And its Long-Term Debt & Capital Lease Obligation was €2,090 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*112.3/-16.3
=6.89

* 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 6.89 mean?
Ignitis Group AB (LSE:IGN) has a Interest Coverage of 6.89 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Ignitis Group AB and its competitors. This is 19% below median its historical median of 8.48. Over the past decade, Ignitis Group AB's Interest Coverage has ranged from 0.96 to 15.46. According to the industry distribution chart, Ignitis Group AB ranks #236 out of 449 companies in the Utilities - Regulated industry, placing it in the top 52.6%.
Is Ignitis Group AB's Interest Coverage too high?
Ignitis Group AB's current Interest Coverage of 6.89 is 19% below median its 10-year median of 8.48. Over the past 10 years, this metric has ranged from a low of 0.96 to a high of 15.46. The Utilities - Regulated industry median Interest Coverage is 3.78. Ignitis Group AB's value of 6.89 is 82.3% above this industry median. Based on the distribution chart, Ignitis Group AB ranks #236 out of 449 companies in the Utilities - Regulated industry, which is below the industry midpoint. Overall, Ignitis Group AB has a GF Score™ of 75/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Ignitis Group AB's Interest Coverage compare to SRE and AES?
According to the Utilities - Regulated industry distribution chart, Ignitis Group AB ranks #236 out of 449 companies for Interest Coverage. This places Ignitis Group AB in the lower half of its industry. The industry median Interest Coverage is 3.78. Ignitis Group AB's value of 6.89 is 82.3% above this benchmark. Historically, Ignitis Group AB's own Interest Coverage has ranged from 0.96 to 15.46 over the past decade. While the company's 10-year median is 8.48 vs. the industry median of 3.78, Ignitis Group AB 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 an Utilities - Regulated company?
The median Interest Coverage among Utilities - Regulated companies is 3.78, based on 449 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. Ignitis Group AB's current Interest Coverage of 6.89 is 82.3% 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 Ignitis Group AB and its competitors. For the Utilities - Regulated industry, the median Interest Coverage is 3.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ignitis Group AB's current Interest Coverage is 6.89, which is 19% below median its own 10-year median of 8.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ignitis Group AB stock overvalued right now?
Based on GuruFocus' analysis, Ignitis Group AB (LSE:IGN) is currently considered Fairly Valued. The stock's GF Value™ is €21.58, compared to a current price of €20.80 — trading 3.6% below its estimated fair value. The current Interest Coverage is 6.89, which is 19% below median its 10-year median of 8.48 and 82.3% above the Utilities - Regulated industry median of 3.78. Ignitis Group AB's overall GF Score™ is 75/100 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 Ignitis Group AB (LSE:IGN), the current Interest Coverage is 6.89 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 Ignitis Group AB (LSE:IGN) Overvalued in 2026?

Based on GuruFocus' analysis, Ignitis Group AB stock appears to be undervalued. The current stock price of €20.80 is trading 3.6% below its estimated GF Value™ of €21.58. GuruFocus considers Ignitis Group AB to be Fairly Valued.

Key valuation signals for LSE:IGN:

  • Interest Coverage: 6.89 (19% below median its 10-year median of 8.48)
  • GF Value™: €21.58 vs. price of €20.80 (3.6% below fair value)
  • GF Score™: 75/100 with 10 warning signs
  • Industry Position: 82.3% above the Utilities - Regulated median (#236 of 449)

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


Ignitis Group AB Business Description

Other Exchanges IGN1L:LithuaniaIGV0:Germany
Address Laisves Avenue 10, Vilnius, LTU, LT-04215
Ignitis Group AB is engaged in green electricity generation and development of green and flexible technologies, energy distribution and supply, development of energy-smart solutions and other related activities. The company is focusing on green generation and green flexibility technologies: onshore and offshore wind, batteries, pumped-storage hydro and power-to-X (P2X). Its business segments include Green Capacities, Networks, Reserve Capacities, Customers & Solutions, and Others. The company derives maximum revenue from Customers & Solutions segment. Geographically, it operates in Lithuania, Poland, Latvia, Finland, Estonia and Other Countries, out of which Lithuania generates majority revenue.
75GF Score

Get the complete analysis for LSE:IGN

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

€20.80
Price
€21.58
GF Value