Akamai TechnologiesLTS:0HBQ +3.78%81 Interest Coverage is 13.80 as of Mar. 2026, which is 33% below its 10-year median of 20.63. GuruFocus rates LTS:0HBQ with a GF Score™ of 81/100 and a GF Value™ of $111.89 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,706 Software companies, Akamai Technologies ranks worse than 57.09% 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. Akamai Technologies's
Operating Income
for the
three
months ended in Mar. 2026 was $114 Mil. Akamai Technologies's Interest Expense for the
three
months ended in Mar. 2026 was $-8 Mil.
Akamai Technologies's interest coverage for the quarter that ended in Mar. 2026 was 13.80.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Akamai Technologies's Interest Coverage or its related term are showing as below:
LTS:0HBQ'
s Interest Coverage Range Over the Past 10 Years
Min: 9.63 Med: 20.63 Max: 64.08
Current: 17.15
LTS:0HBQ's Interest Coverage is ranked worse than 57.09% of 1706
companies
in the Software industry
Industry Median: 24.75
vs LTS:0HBQ: 17.15
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 .
Akamai Technologies Interest Coverage Related Terms
Akamai Technologies Interest Coverage Historical Data
* Premium members only.
The historical data trend for Akamai Technologies'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.
LTS:0HBQ vs TOST, RBRK, IOT: Interest Coverage Comparison
For the Software - Infrastructure subindustry, Akamai Technologies'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.
Akamai Technologies Interest Coverage vs Software Industry
For the Software industry and Technology sector, Akamai Technologies's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Akamai Technologies'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.
Akamai Technologies (LTS:0HBQ) has a Interest Coverage of 13.80 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Akamai Technologies and its competitors. This is 33% below median its historical median of 20.63. Over the past decade, Akamai Technologies' Interest Coverage has ranged from 9.63 to 64.08. According to the industry distribution chart, Akamai Technologies ranks #974 out of 1706 companies in the Software industry, placing it in the top 57.1%.
Is Akamai Technologies' Interest Coverage too high?
Akamai Technologies' current Interest Coverage of 13.80 is 33% below median its 10-year median of 20.63. Over the past 10 years, this metric has ranged from a low of 9.63 to a high of 64.08. The Software industry median Interest Coverage is 24.75. Akamai Technologies' value of 13.80 is 44.2% below this industry median. Based on the distribution chart, Akamai Technologies ranks #974 out of 1706 companies in the Software industry, which is below the industry midpoint. Overall, Akamai Technologies has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Akamai Technologies' Interest Coverage compare to TOST and RBRK?
According to the Software industry distribution chart, Akamai Technologies ranks #974 out of 1706 companies for Interest Coverage. This places Akamai Technologies in the lower half of its industry. The industry median Interest Coverage is 24.75. Akamai Technologies' value of 13.80 is 44.2% below this benchmark. Historically, Akamai Technologies' own Interest Coverage has ranged from 9.63 to 64.08 over the past decade. While the company's 10-year median is 20.63 vs. the industry median of 24.75, Akamai Technologies 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 Software company?
The median Interest Coverage among Software companies is 24.75, based on 1,706 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. Akamai Technologies's current Interest Coverage of 13.80 is 44.2% 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 Akamai Technologies and its competitors. For the Software industry, the median Interest Coverage is 24.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Akamai Technologies's current Interest Coverage is 13.80, which is 33% below median its own 10-year median of 20.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Akamai Technologies stock overvalued right now?
Based on GuruFocus' analysis, Akamai Technologies (LTS:0HBQ) is currently considered Fairly Valued. The stock's GF Value™ is $111.89, compared to a current price of $118.16 — trading 5.6% above its estimated fair value. The current Interest Coverage is 13.80, which is 33% below median its 10-year median of 20.63 and 44.2% below the Software industry median of 24.75. Akamai Technologies' overall GF Score™ is 81/100 with 5 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 Akamai Technologies (LTS:0HBQ), the current Interest Coverage is 13.80 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 Akamai Technologies (LTS:0HBQ) Overvalued in 2026?
Based on GuruFocus' analysis, Akamai Technologies stock appears to be overvalued.
The current stock price of $118.16 is trading 5.6% above its estimated GF Value™ of $111.89.
GuruFocus considers Akamai Technologies to be Fairly Valued.
Key valuation signals for LTS:0HBQ:
Interest Coverage: 13.80 (33% below median its 10-year median of 20.63)
GF Value™: $111.89 vs. price of $118.16 (5.6% above fair value)
Industry Position: 44.2% below the Software median (#974 of 1706)
No single metric tells the full story. See the LTS:0HBQ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Akamai operates a content delivery network, in which customers store content on distributed servers to deliver it to their own customers more quickly. Akamai has over 350,000 servers distributed over 4,350 points of presence in more than 700 cities globally. This network supports upward of 20% of global internet traffic, generating massive amounts of data. Using data generated by the delivery network, the firm offers cybersecurity products and cloud computing services, ranging from API security to zero-trust enterprise access, which has surpassed the delivery network in revenue and importance. As of 2026, the primary focus has shifted to offering computing hardware as a service, with an emphasis on serving large language model providers such as Anthropic.
81GF Score
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