Honda Motor Co (MEX:HMCN) Interest Coverage: 0 (At Loss) (As of Mar. 2026)


MEX:HMCN Honda Motor Co Ltd MEX:HMCN
62 GF Score
Price MXN455.00
GF Value MXN627.27
Valuation Modestly Undervalued
! 5 Warning Signs
View Full Analysis

What is Honda Motor Co Interest Coverage?

Honda Motor Co MEX:HMCN 62 Interest Coverage is 0 (At Loss) as of Mar. 2026. GuruFocus rates MEX:HMCN with a GF Score™ of 62/100 and a GF Value™ of MXN627.27 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,066 Vehicles & Parts companies, Honda Motor Co ranks worse than 93808.54% 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. Honda Motor Co's Operating Income for the three months ended in Mar. 2026 was MXN-114,305 Mil. Honda Motor Co's Interest Expense for the three months ended in Mar. 2026 was MXN-4,591 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

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


MEX:HMCN's Interest Coverage is not ranked *
in the Vehicles & Parts industry.
Industry Median: 8.295
* 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.


Honda Motor Co  (MEX:HMCN) 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 .


Honda Motor Co Interest Coverage Related Terms


Honda Motor Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Honda Motor Co'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.

Honda Motor Co Interest Coverage Chart

Honda Motor Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 51.65 21.62 23.18 22.10 0.00

Honda Motor Co 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 4.36 17.56 12.56 11.10 0.00

MEX:HMCN vs TSLA, GM, F: Interest Coverage Comparison

For the Auto Manufacturers subindustry, Honda Motor Co'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.


Honda Motor Co Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Honda Motor Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Honda Motor Co's Interest Coverage falls into.


MEX:HMCN
62GF Score
Honda Motor Co Ltd MEX:HMCN
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Honda Motor Co 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.

Honda Motor Co'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, Honda Motor Co's Interest Expense was MXN-9,496 Mil. Its Operating Income was MXN-47,086 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN0 Mil.

Honda Motor Co did not have earnings to cover the interest expense.

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

Here, for the three months ended in Mar. 2026, Honda Motor Co's Interest Expense was MXN-4,591 Mil. Its Operating Income was MXN-114,305 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN0 Mil.

Honda Motor Co did not have earnings to cover the 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.

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 0 (At Loss) mean?
Honda Motor Co (MEX:HMCN) has a Interest Coverage of 0 (At Loss) as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Honda Motor Co and its competitors. According to the industry distribution chart, Honda Motor Co ranks #999999 out of 1066 companies in the Vehicles & Parts industry.
Is Honda Motor Co's Interest Coverage too high?
Honda Motor Co's current Interest Coverage is 0 (At Loss). Based on the distribution chart, Honda Motor Co ranks #999999 out of 1066 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Honda Motor Co has a GF Score™ of 62/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Honda Motor Co's Interest Coverage compare to TSLA and GM?
According to the Vehicles & Parts industry distribution chart, Honda Motor Co ranks #999999 out of 1066 companies for Interest Coverage. This places Honda Motor Co in the lower half of its industry. The industry median Interest Coverage is 8.30. 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.30, based on 1,066 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. 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 Honda Motor Co and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Honda Motor Co's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Honda Motor Co stock overvalued right now?
Based on GuruFocus' analysis, Honda Motor Co (MEX:HMCN) is currently considered Modestly Undervalued. The stock's GF Value™ is MXN627.27, compared to a current price of MXN455.00 — trading 27.5% below its estimated fair value. The current Interest Coverage is 0 (At Loss). Honda Motor Co's overall GF Score™ is 62/100 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 Honda Motor Co (MEX:HMCN), the current Interest Coverage is 0 (At Loss) 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 Honda Motor Co (MEX:HMCN) Overvalued in 2026?

Based on GuruFocus' analysis, Honda Motor Co stock appears to be undervalued. The current stock price of MXN455.00 is trading 27.5% below its estimated GF Value™ of MXN627.27. GuruFocus considers Honda Motor Co to be Modestly Undervalued.

Key valuation signals for MEX:HMCN:

  • Interest Coverage: 0 (At Loss)
  • GF Value™: MXN627.27 vs. price of MXN455.00 (27.5% below fair value)
  • GF Score™: 62/100 with 5 warning signs

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


Honda Motor Co Business Description

Address Toranomon 2-chome, No.2-3, Minato-ku, Tokyo, JPN, 105-8404
Incorporated in 1948, Honda Motor was originally a motorcycle manufacturer. Today, the firm makes automobiles, motorcycles, and power products such as boat engines, generators, and lawnmowers. Including joint ventures, Honda sold 3.4 million light vehicles and 22.1 million motorcycles in fiscal 2026, and consolidated sales were JPY 21.8 trillion. Automobiles constitute 64% of revenue and motorcycles 18%, with the rest split between power products and financial services. Honda also makes robots and private jets.
62GF Score

Get the complete analysis for MEX:HMCN

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

MXN455.00
Price
MXN627.27
GF Value