Knowles (LTS:0JRJ) Interest Coverage: 10.67 (As of Mar. 2026) — 106% Above Median


LTS:0JRJ Knowles Corp LTS:0JRJ
66 GF Score
Price $37.28
GF Value $23.90
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Knowles Interest Coverage?

Knowles LTS:0JRJ 66 Interest Coverage is 10.67 as of Mar. 2026, which is 106% above its 10-year median of 5.19. GuruFocus rates LTS:0JRJ with a GF Score™ of 66/100 and a GF Value™ of $23.90 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 1,672 Hardware companies, Knowles ranks worse than 66.39% 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. Knowles's Operating Income for the three months ended in Mar. 2026 was $16.0 Mil. Knowles's Interest Expense for the three months ended in Mar. 2026 was $-1.5 Mil. Knowles's interest coverage for the quarter that ended in Mar. 2026 was 10.67. The higher the ratio, the stronger the company's financial strength is.

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

LTS:0JRJ' s Interest Coverage Range Over the Past 10 Years
Min: 2.62   Med: 5.19   Max: 23.44
Current: 7.03


LTS:0JRJ's Interest Coverage is ranked worse than
66.39% of 1672 companies
in the Hardware industry
Industry Median: 13.73 vs LTS:0JRJ: 7.03

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


Knowles  (LTS:0JRJ) 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 .


Knowles Interest Coverage Related Terms


Knowles Interest Coverage Historical Data

* Premium members only.

The historical data trend for Knowles'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.

Knowles Interest Coverage Chart

Knowles 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 8.35 23.44 6.16 2.65 5.64

Knowles 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 2.37 5.88 11.26 4.78 10.67

LTS:0JRJ vs BHE, OSIS, ROG: Interest Coverage Comparison

For the Electronic Components subindustry, Knowles'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.


Knowles Interest Coverage vs Hardware Industry

For the Hardware industry and Technology sector, Knowles's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Knowles's Interest Coverage falls into.


LTS:0JRJ
66GF Score
Knowles Corp LTS:0JRJ
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Knowles 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.

Knowles'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, Knowles's Interest Expense was $-13.0 Mil. Its Operating Income was $73.3 Mil. And its Long-Term Debt & Capital Lease Obligation was $130.4 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*73.3/-13
=5.64

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

Here, for the three months ended in Mar. 2026, Knowles's Interest Expense was $-1.5 Mil. Its Operating Income was $16.0 Mil. And its Long-Term Debt & Capital Lease Obligation was $146.6 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*16/-1.5
=10.67

* 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 10.67 mean?
Knowles (LTS:0JRJ) has a Interest Coverage of 10.67 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Knowles and its competitors. This is 106% above median its historical median of 5.19. Over the past decade, Knowles' Interest Coverage has ranged from 2.62 to 23.44. According to the industry distribution chart, Knowles ranks #1110 out of 1672 companies in the Hardware industry, placing it in the top 66.4%.
Is Knowles' Interest Coverage too high?
Knowles' current Interest Coverage of 10.67 is 106% above median its 10-year median of 5.19. Over the past 10 years, this metric has ranged from a low of 2.62 to a high of 23.44. The Hardware industry median Interest Coverage is 13.73. Knowles' value of 10.67 is 22.3% below this industry median. Based on the distribution chart, Knowles ranks #1110 out of 1672 companies in the Hardware industry, which is below the industry midpoint. Overall, Knowles has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Knowles' Interest Coverage compare to BHE and OSIS?
According to the Hardware industry distribution chart, Knowles ranks #1110 out of 1672 companies for Interest Coverage. This places Knowles in the lower half of its industry. The industry median Interest Coverage is 13.73. Knowles' value of 10.67 is 22.3% below this benchmark. Historically, Knowles' own Interest Coverage has ranged from 2.62 to 23.44 over the past decade. While the company's 10-year median is 5.19 vs. the industry median of 13.73, Knowles 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 Hardware company?
The median Interest Coverage among Hardware companies is 13.73, based on 1,672 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. Knowles's current Interest Coverage of 10.67 is 22.3% 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 Knowles and its competitors. For the Hardware industry, the median Interest Coverage is 13.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Knowles's current Interest Coverage is 10.67, which is 106% above median its own 10-year median of 5.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Knowles stock overvalued right now?
Based on GuruFocus' analysis, Knowles (LTS:0JRJ) is currently considered Significantly Overvalued. The stock's GF Value™ is $23.90, compared to a current price of $37.28 — trading 56% above its estimated fair value. The current Interest Coverage is 10.67, which is 106% above median its 10-year median of 5.19 and 22.3% below the Hardware industry median of 13.73. Knowles' overall GF Score™ is 66/100 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 Knowles (LTS:0JRJ), the current Interest Coverage is 10.67 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 Knowles (LTS:0JRJ) Overvalued in 2026?

Based on GuruFocus' analysis, Knowles stock appears to be overvalued. The current stock price of $37.28 is trading 56% above its estimated GF Value™ of $23.90. GuruFocus considers Knowles to be Significantly Overvalued.

Key valuation signals for LTS:0JRJ:

  • Interest Coverage: 10.67 (106% above median its 10-year median of 5.19)
  • GF Value™: $23.90 vs. price of $37.28 (56% above fair value)
  • GF Score™: 66/100 with 3 warning signs
  • Industry Position: 22.3% below the Hardware median (#1110 of 1672)

No single metric tells the full story. See the LTS:0JRJ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Knowles Business Description

Other Exchanges KN:USA1K3:Germany
Address 1151 Maplewood Drive, Itasca, IL, USA, 60143
Knowles Corp is engaged in the manufacturing of micro-acoustic microphones and balanced armature speakers, audio solutions, high-performance capacitors, and radio frequency filtering products. It operates in two segments; the Precision Devices segment specializes in the design and delivery of high-performance capacitor products and RF solutions; and Medtech & Specialty Audio segment designs and manufactures microphones and balanced armature speakers used in applications. The majority of its revenue comes from the Precision Devices. Geographically, it operates in United States, Asia, Other Americas, Europe and Others, out of which United States generates maximum revenue.
66GF Score

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

$37.28
Price
$23.90
GF Value