Baxter InternationalMEX:BAX +8.70%44 Interest Coverage is 0.85 as of Mar. 2026, which is 90% below its 10-year median of 8.37. GuruFocus rates MEX:BAX with a GF Score™ of 44/100 and a GF Value™ of MXN624.41 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 468 Medical Devices & Instruments companies, Baxter International ranks worse than 96.37% 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. Baxter International's
Operating Income
for the
three
months ended in Mar. 2026 was MXN1,190 Mil. Baxter International's Interest Expense for the
three
months ended in Mar. 2026 was MXN-1,407 Mil.
Baxter International's interest coverage for the quarter that ended in Mar. 2026 was 0.85.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Baxter International's Interest Coverage or its related term are showing as below:
MEX:BAX'
s Interest Coverage Range Over the Past 10 Years
Min: 0.61 Med: 8.37 Max: 17.03
Current: 0.64
MEX:BAX's Interest Coverage is ranked worse than 96.37% of 468
companies
in the Medical Devices & Instruments industry
Industry Median: 15.71
vs MEX:BAX: 0.64
Baxter International (MEX:BAX) 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 .
Baxter International Interest Coverage Related Terms
Baxter International Interest Coverage Historical Data
* Premium members only.
The historical data trend for Baxter International'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.
MEX:BAX vs COO, ATR, RGEN: Interest Coverage Comparison
For the Medical Instruments & Supplies subindustry, Baxter International'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.
Baxter International Interest Coverage vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Baxter International's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Baxter International's Interest Coverage falls into.
Baxter International 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.
Baxter International (MEX:BAX) has a Interest Coverage of 0.85 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Baxter International and its competitors. This is 90% below median its historical median of 8.37. Over the past decade, Baxter International's Interest Coverage has ranged from 0.61 to 17.03. According to the industry distribution chart, Baxter International ranks #451 out of 468 companies in the Medical Devices & Instruments industry, placing it in the top 96.4%.
Is Baxter International's Interest Coverage too high?
Baxter International's current Interest Coverage of 0.85 is 90% below median its 10-year median of 8.37. Over the past 10 years, this metric has ranged from a low of 0.61 to a high of 17.03. The Medical Devices & Instruments industry median Interest Coverage is 15.71. Baxter International's value of 0.85 is 94.6% below this industry median. Based on the distribution chart, Baxter International ranks #451 out of 468 companies in the Medical Devices & Instruments industry, which is in the bottom quartile relative to peers. Overall, Baxter International has a GF Score™ of 44/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Baxter International's Interest Coverage compare to COO and ATR?
According to the Medical Devices & Instruments industry distribution chart, Baxter International ranks #451 out of 468 companies for Interest Coverage. This places Baxter International in the lower half of its industry. The industry median Interest Coverage is 15.71. Baxter International's value of 0.85 is 94.6% below this benchmark. Historically, Baxter International's own Interest Coverage has ranged from 0.61 to 17.03 over the past decade. While the company's 10-year median is 8.37 vs. the industry median of 15.71, Baxter International 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 15.71, based on 468 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. Baxter International's current Interest Coverage of 0.85 is 94.6% 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 Baxter International and its competitors. For the Medical Devices & Instruments industry, the median Interest Coverage is 15.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Baxter International's current Interest Coverage is 0.85, which is 90% below median its own 10-year median of 8.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Baxter International stock overvalued right now?
Based on GuruFocus' analysis, Baxter International (MEX:BAX) is currently considered Possible Value Trap. The stock's GF Value™ is MXN624.41, compared to a current price of MXN368.89 — trading 40.9% below its estimated fair value. The current Interest Coverage is 0.85, which is 90% below median its 10-year median of 8.37 and 94.6% below the Medical Devices & Instruments industry median of 15.71. Baxter International's overall GF Score™ is 44/100 with 6 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 Baxter International (MEX:BAX), the current Interest Coverage is 0.85 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 Baxter International (MEX:BAX) Overvalued in 2026?
Based on GuruFocus' analysis, Baxter International stock appears to be undervalued.
The current stock price of MXN368.89 is trading 40.9% below its estimated GF Value™ of MXN624.41.
GuruFocus considers Baxter International to be Possible Value Trap.
Key valuation signals for MEX:BAX:
Interest Coverage: 0.85 (90% below median its 10-year median of 8.37)
GF Value™: MXN624.41 vs. price of MXN368.89 (40.9% below fair value)
Industry Position: 94.6% below the Medical Devices & Instruments median (#451 of 468)
No single metric tells the full story. See the MEX:BAX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Baxter offers a variety of medical supplies and equipment to providers. From its legacy operations, Baxter sells injectable therapies for use in care settings, including IV pumps, administrative sets, and solutions; nutritional products; and surgical sealants and hemostatic agents. Baxter expanded its portfolio of hospital-focused offerings by acquiring Hillrom in late 2021, which added basic equipment like hospital beds, operating room equipment, and patient monitoring tools to the portfolio. Baxter also sold its kidney care tools in early 2025.
44GF Score
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