Fomento Economico MexicanoB de CV (MEX:FEMSAUB) Interest Coverage: 2.62 (As of Mar. 2026) — 38% Below Median


MEX:FEMSAUB Fomento Economico Mexicano SAB de CV MEX:FEMSAUB
92 GF Score
Price MXN166.00
GF Value MXN210.92
Valuation Modestly Undervalued
! 7 Warning Signs
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What is Fomento Economico MexicanoB de CV Interest Coverage?

Fomento Economico MexicanoB de CV MEX:FEMSAUB 92 Interest Coverage is 2.62 as of Mar. 2026, which is 38% below its 10-year median of 4.20. GuruFocus rates MEX:FEMSAUB with a GF Score™ of 92/100 and a GF Value™ of MXN210.92 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 159 Beverages - Alcoholic companies, Fomento Economico MexicanoB de CV ranks worse than 77.36% 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. Fomento Economico MexicanoB de CV's Operating Income for the three months ended in Mar. 2026 was MXN14,314 Mil. Fomento Economico MexicanoB de CV's Interest Expense for the three months ended in Mar. 2026 was MXN-5,470 Mil. Fomento Economico MexicanoB de CV's interest coverage for the quarter that ended in Mar. 2026 was 2.62. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Fomento Economico MexicanoB de CV's Interest Coverage or its related term are showing as below:

MEX:FEMSAUB' s Interest Coverage Range Over the Past 10 Years
Min: 2.47   Med: 4.2   Max: 6.66
Current: 3.89


MEX:FEMSAUB's Interest Coverage is ranked worse than
77.36% of 159 companies
in the Beverages - Alcoholic industry
Industry Median: 8.63 vs MEX:FEMSAUB: 3.89

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


Fomento Economico MexicanoB de CV  (MEX:FEMSAUB) 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 .


Fomento Economico MexicanoB de CV Interest Coverage Related Terms


Fomento Economico MexicanoB de CV Interest Coverage Historical Data

* Premium members only.

The historical data trend for Fomento Economico MexicanoB de CV'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.

Fomento Economico MexicanoB de CV Interest Coverage Chart

Fomento Economico MexicanoB de CV 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 3.60 4.40 3.34 4.01 3.92

Fomento Economico MexicanoB de CV 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 2.62 3.36 3.31 9.06 2.62

MEX:FEMSAUB vs BUD, STZ, TAP: Interest Coverage Comparison

For the Beverages - Brewers subindustry, Fomento Economico MexicanoB de CV'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.


Fomento Economico MexicanoB de CV Interest Coverage vs Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Fomento Economico MexicanoB de CV's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Fomento Economico MexicanoB de CV's Interest Coverage falls into.


MEX:FEMSAUB
92GF Score
Fomento Economico Mexicano SAB de CV MEX:FEMSAUB
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Fomento Economico MexicanoB de CV 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.

Fomento Economico MexicanoB de CV'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, Fomento Economico MexicanoB de CV's Interest Expense was MXN-18,416 Mil. Its Operating Income was MXN72,155 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN221,695 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*72155/-18416
=3.92

Fomento Economico MexicanoB de CV's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Fomento Economico MexicanoB de CV's Interest Expense was MXN-5,470 Mil. Its Operating Income was MXN14,314 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN235,144 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*14314/-5470
=2.62

* 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 2.62 mean?
Fomento Economico MexicanoB de CV (MEX:FEMSAUB) has a Interest Coverage of 2.62 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Fomento Economico MexicanoB de CV and its competitors. This is 38% below median its historical median of 4.20. Over the past decade, Fomento Economico MexicanoB de CV's Interest Coverage has ranged from 2.47 to 6.66. According to the industry distribution chart, Fomento Economico MexicanoB de CV ranks #123 out of 159 companies in the Beverages - Alcoholic industry, placing it in the top 77.4%.
Is Fomento Economico MexicanoB de CV's Interest Coverage too high?
Fomento Economico MexicanoB de CV's current Interest Coverage of 2.62 is 38% below median its 10-year median of 4.20. Over the past 10 years, this metric has ranged from a low of 2.47 to a high of 6.66. The Beverages - Alcoholic industry median Interest Coverage is 8.63. Fomento Economico MexicanoB de CV's value of 2.62 is 69.6% below this industry median. Based on the distribution chart, Fomento Economico MexicanoB de CV ranks #123 out of 159 companies in the Beverages - Alcoholic industry, which is in the bottom quartile relative to peers. Overall, Fomento Economico MexicanoB de CV has a GF Score™ of 92/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Fomento Economico MexicanoB de CV's Interest Coverage compare to BUD and STZ?
According to the Beverages - Alcoholic industry distribution chart, Fomento Economico MexicanoB de CV ranks #123 out of 159 companies for Interest Coverage. This places Fomento Economico MexicanoB de CV in the lower half of its industry. The industry median Interest Coverage is 8.63. Fomento Economico MexicanoB de CV's value of 2.62 is 69.6% below this benchmark. Historically, Fomento Economico MexicanoB de CV's own Interest Coverage has ranged from 2.47 to 6.66 over the past decade. While the company's 10-year median is 4.20 vs. the industry median of 8.63, Fomento Economico MexicanoB de CV 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 Beverages - Alcoholic company?
The median Interest Coverage among Beverages - Alcoholic companies is 8.63, based on 159 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. Fomento Economico MexicanoB de CV's current Interest Coverage of 2.62 is 69.6% 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 Fomento Economico MexicanoB de CV and its competitors. For the Beverages - Alcoholic industry, the median Interest Coverage is 8.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fomento Economico MexicanoB de CV's current Interest Coverage is 2.62, which is 38% below median its own 10-year median of 4.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fomento Economico MexicanoB de CV stock overvalued right now?
Based on GuruFocus' analysis, Fomento Economico MexicanoB de CV (MEX:FEMSAUB) is currently considered Modestly Undervalued. The stock's GF Value™ is MXN210.92, compared to a current price of MXN166.00 — trading 21.3% below its estimated fair value. The current Interest Coverage is 2.62, which is 38% below median its 10-year median of 4.20 and 69.6% below the Beverages - Alcoholic industry median of 8.63. Fomento Economico MexicanoB de CV's overall GF Score™ is 92/100 with 7 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 Fomento Economico MexicanoB de CV (MEX:FEMSAUB), the current Interest Coverage is 2.62 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 Fomento Economico MexicanoB de CV (MEX:FEMSAUB) Overvalued in 2026?

Based on GuruFocus' analysis, Fomento Economico MexicanoB de CV stock appears to be undervalued. The current stock price of MXN166.00 is trading 21.3% below its estimated GF Value™ of MXN210.92. GuruFocus considers Fomento Economico MexicanoB de CV to be Modestly Undervalued.

Key valuation signals for MEX:FEMSAUB:

  • Interest Coverage: 2.62 (38% below median its 10-year median of 4.20)
  • GF Value™: MXN210.92 vs. price of MXN166.00 (21.3% below fair value)
  • GF Score™: 92/100 with 7 warning signs
  • Industry Position: 69.6% below the Beverages - Alcoholic median (#123 of 159)

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


Fomento Economico MexicanoB de CV Business Description

Address General Anaya No. 601 Pte., Colonia Bella Vista, Monterrey, NL, MEX, 64410
Mexico-based Femsa is a beverage and retail conglomerate in Central and South America. The holding company owns controlling stakes in bottler Coca-Cola Femsa (47% economic stake, 56% voting rights), in addition to operating 100%-owned retail assets, including convenience stores under the Oxxo banner, drugstores, and gas stations. The firm divested its 15% stake in Heineken and its distribution business in 2023. Coca-Cola Femsa and the Oxxo chain made up over 70% of total company revenue and over 90% of profits in 2025.
92GF Score

Get the complete analysis for MEX:FEMSAUB

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

MXN166.00
Price
MXN210.92
GF Value