ARM Holdings (MEX:ARMN) Interest Coverage: N/A (As of Mar. 2026)


MEX:ARMN ARM Holdings PLC MEX:ARMN
61 GF Score
Price MXN6,331.50
GF Value MXN3,132.07
Valuation Significantly Overvalued
! 1 Warning Sign
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What is ARM Holdings Interest Coverage?

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. ARM Holdings's Operating Income for the three months ended in Mar. 2026 was MXN7,934 Mil. ARM Holdings's Interest Expense for the three months ended in Mar. 2026 was MXN0 Mil. GuruFocus does not calculate 's interest coverage with the available data. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. ARM Holdings PLC has enough cash to cover all of its debt. Its financial situation is stable.

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


MEX:ARMN's Interest Coverage is not ranked *
in the Semiconductors industry.
Industry Median: 20.225
* Ranked among companies with meaningful Interest Coverage only.

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


ARM Holdings  (MEX:ARMN) 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 .


ARM Holdings Interest Coverage Related Terms


ARM Holdings Interest Coverage Historical Data

* Premium members only.

The historical data trend for ARM Holdings'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.

ARM Holdings Interest Coverage Chart

ARM Holdings Annual Data
Trend Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial N/A N/A N/A N/A N/A

ARM Holdings Quarterly Data
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 N/A N/A N/A N/A N/A

MEX:ARMN vs TXN, QCOM, ADI: Interest Coverage Comparison

For the Semiconductors subindustry, ARM Holdings'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.


ARM Holdings Interest Coverage vs Semiconductors Industry

For the Semiconductors industry and Technology sector, ARM Holdings's Interest Coverage distribution charts can be found below:

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


MEX:ARMN
61GF Score
ARM Holdings PLC MEX:ARMN
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

ARM Holdings 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.

ARM Holdings's Interest Coverage for the fiscal year that ended in Mar. 2026 is calculated as

Here, for the fiscal year that ended in Mar. 2026, ARM Holdings's Interest Expense was MXN0 Mil. Its Operating Income was MXN16,374 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN7,087 Mil.

GuruFocus does not calculate ARM Holdings's interest coverage with the available data.

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

Here, for the three months ended in Mar. 2026, ARM Holdings's Interest Expense was MXN0 Mil. Its Operating Income was MXN7,934 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN7,087 Mil.

GuruFocus does not calculate ARM Holdings's interest coverage with the available data.

* 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.

Is ARM Holdings (MEX:ARMN) Overvalued in 2026?

Based on GuruFocus' analysis, ARM Holdings stock appears to be overvalued. The current stock price of MXN6,331.50 is trading 102.2% above its estimated GF Value™ of MXN3,132.07. GuruFocus considers ARM Holdings to be Significantly Overvalued.

Key valuation signals for MEX:ARMN:

  • Interest Coverage: N/A
  • GF Value™: MXN3,132.07 vs. price of MXN6,331.50 (102.2% above fair value)
  • GF Score™: 61/100 with 1 warning sign

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


ARM Holdings Business Description

Other Exchanges ARM:USAO9T:Germany
Address 110 Fulbourn Road, Cambridge, GBR, CB1 9NJ
Arm Holdings is the IP owner and developer of the Arm architecture, which is used in 99% of the world's smartphone CPU cores. It also has high market share in other battery-powered devices like wearables, tablets, and sensors. Arm licenses its architecture for a fee, offering different types of licenses depending on the flexibility the customer needs. Customers like Apple or Qualcomm buy architectural licenses, which allow them to modify the architecture and add or delete instructions to tailor the chips to their specific needs. Other clients directly buy off-the-shelf designs from Arm. Both off-the-shelf and architectural customers pay a royalty fee per chip shipped. In 2026, Arm announced the launch of its own CPU products on top of its existing royalty business.
61GF Score

Get the complete analysis for MEX:ARMN

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

MXN6,331.50
Price
MXN3,132.07
GF Value