Siemens Healthineers AGLTS:0PMJ +0.30%79 Interest Coverage is 7.25 as of Mar. 2026, which is 25% below its 10-year median of 9.69. GuruFocus rates LTS:0PMJ with a GF Score™ of 79/100 and a GF Value™ of €52.14 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 466 Medical Devices & Instruments companies, Siemens Healthineers AG ranks worse than 66.31% 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. Siemens Healthineers AG's
Operating Income
for the
three
months ended in Mar. 2026 was €725 Mil. Siemens Healthineers AG's Interest Expense for the
three
months ended in Mar. 2026 was €-100 Mil.
Siemens Healthineers AG's interest coverage for the quarter that ended in Mar. 2026 was 7.25.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Siemens Healthineers AG's Interest Coverage or its related term are showing as below:
LTS:0PMJ'
s Interest Coverage Range Over the Past 10 Years
Min: 5.9 Med: 9.69 Max: 30.94
Current: 7.42
LTS:0PMJ's Interest Coverage is ranked worse than 66.31% of 466
companies
in the Medical Devices & Instruments industry
Industry Median: 15.875
vs LTS:0PMJ: 7.42
Siemens Healthineers AG (LTS:0PMJ) 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 .
Siemens Healthineers AG Interest Coverage Related Terms
Siemens Healthineers AG Interest Coverage Historical Data
* Premium members only.
The historical data trend for Siemens Healthineers AG'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:0PMJ vs ABT, SYK, MDT: Interest Coverage Comparison
For the Medical Devices subindustry, Siemens Healthineers AG'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.
Siemens Healthineers AG Interest Coverage vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Siemens Healthineers AG's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Siemens Healthineers AG's Interest Coverage falls into.
Siemens Healthineers AG 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:
* 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.
Siemens Healthineers AG (LTS:0PMJ) has a Interest Coverage of 7.25 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Siemens Healthineers AG and its competitors. This is 25% below median its historical median of 9.69. Over the past decade, Siemens Healthineers AG's Interest Coverage has ranged from 5.90 to 30.94. According to the industry distribution chart, Siemens Healthineers AG ranks #309 out of 466 companies in the Medical Devices & Instruments industry, placing it in the top 66.3%.
Is Siemens Healthineers AG's Interest Coverage too high?
Siemens Healthineers AG's current Interest Coverage of 7.25 is 25% below median its 10-year median of 9.69. Over the past 10 years, this metric has ranged from a low of 5.90 to a high of 30.94. The Medical Devices & Instruments industry median Interest Coverage is 15.88. Siemens Healthineers AG's value of 7.25 is 54.3% below this industry median. Based on the distribution chart, Siemens Healthineers AG ranks #309 out of 466 companies in the Medical Devices & Instruments industry, which is below the industry midpoint. Overall, Siemens Healthineers AG has a GF Score™ of 79/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Siemens Healthineers AG's Interest Coverage compare to ABT and SYK?
According to the Medical Devices & Instruments industry distribution chart, Siemens Healthineers AG ranks #309 out of 466 companies for Interest Coverage. This places Siemens Healthineers AG in the lower half of its industry. The industry median Interest Coverage is 15.88. Siemens Healthineers AG's value of 7.25 is 54.3% below this benchmark. Historically, Siemens Healthineers AG's own Interest Coverage has ranged from 5.90 to 30.94 over the past decade. While the company's 10-year median is 9.69 vs. the industry median of 15.88, Siemens Healthineers AG 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 Medical Devices & Instruments company?
The median Interest Coverage among Medical Devices & Instruments companies is 15.88, based on 466 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. Siemens Healthineers AG's current Interest Coverage of 7.25 is 54.3% 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 Siemens Healthineers AG and its competitors. For the Medical Devices & Instruments industry, the median Interest Coverage is 15.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Siemens Healthineers AG's current Interest Coverage is 7.25, which is 25% below median its own 10-year median of 9.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Siemens Healthineers AG stock overvalued right now?
Based on GuruFocus' analysis, Siemens Healthineers AG (LTS:0PMJ) is currently considered Possible Value Trap. The stock's GF Value™ is €52.14, compared to a current price of €34.20 — trading 34.4% below its estimated fair value. The current Interest Coverage is 7.25, which is 25% below median its 10-year median of 9.69 and 54.3% below the Medical Devices & Instruments industry median of 15.88. Siemens Healthineers AG's overall GF Score™ is 79/100 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 Siemens Healthineers AG (LTS:0PMJ), the current Interest Coverage is 7.25 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 Siemens Healthineers AG (LTS:0PMJ) Overvalued in 2026?
Based on GuruFocus' analysis, Siemens Healthineers AG stock appears to be undervalued.
The current stock price of €34.20 is trading 34.4% below its estimated GF Value™ of €52.14.
GuruFocus considers Siemens Healthineers AG to be Possible Value Trap.
Key valuation signals for LTS:0PMJ:
Interest Coverage: 7.25 (25% below median its 10-year median of 9.69)
GF Value™: €52.14 vs. price of €34.20 (34.4% below fair value)
Industry Position: 54.3% below the Medical Devices & Instruments median (#309 of 466)
No single metric tells the full story. See the LTS:0PMJ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Siemens Healthineers is engaged in therapeutic imaging, radiotherapy, laboratory, and point-of-care diagnostics. The imaging segment (56% of sales in fiscal 2025) includes magnetic resonance imaging, computed tomography, X-ray systems, molecular imaging, and ultrasound. The Varian segment (18% of sales) offers radiotherapy and other oncology solutions. The diagnostics segment (19%) includes in vitro diagnostics and point-of-care diagnostics. The advanced therapies (now part of precision therapy) segment (9%) products are designed to support image-guided minimally invasive treatments in cardiology, interventional radiology, and surgery. The Americas represents 44% of total sales, Europe, Middle East, and Africa 32%, and Asia-Pacific, including China (11%), the remainder.
79GF Score
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