The Timken Co (MEX:TKR) Interest Coverage: 7.09 (As of Mar. 2026) — Near Median


MEX:TKR The Timken Co MEX:TKR
71 GF Score
Price MXN2,560.00
GF Value MXN1,547.04
Valuation Significantly Overvalued
! 7 Warning Signs
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What is The Timken Co Interest Coverage?

The Timken Co MEX:TKR 71 Interest Coverage is 7.09 as of Mar. 2026, which is 7% below its 10-year median of 7.60. GuruFocus rates MEX:TKR with a GF Score™ of 71/100 and a GF Value™ of MXN1,547.04 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 2,322 Industrial Products companies, The Timken Co ranks worse than 71.96% 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. The Timken Co's Operating Income for the three months ended in Mar. 2026 was MXN3,105 Mil. The Timken Co's Interest Expense for the three months ended in Mar. 2026 was MXN-438 Mil. The Timken Co's interest coverage for the quarter that ended in Mar. 2026 was 7.09. The higher the ratio, the stronger the company's financial strength is.

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

MEX:TKR' s Interest Coverage Range Over the Past 10 Years
Min: 4.88   Med: 7.6   Max: 8.89
Current: 5.4


MEX:TKR's Interest Coverage is ranked worse than
71.96% of 2322 companies
in the Industrial Products industry
Industry Median: 14.775 vs MEX:TKR: 5.40

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


The Timken Co  (MEX:TKR) 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 .


The Timken Co Interest Coverage Related Terms


The Timken Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for The Timken 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.

The Timken Co Interest Coverage Chart

The Timken Co 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 8.88 8.73 6.35 4.88 5.13

The Timken 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 5.85 5.06 5.22 4.42 7.09

MEX:TKR vs TTC, SWK, LECO: Interest Coverage Comparison

For the Tools & Accessories subindustry, The Timken 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.


The Timken Co Interest Coverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, The Timken Co's Interest Coverage distribution charts can be found below:

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


MEX:TKR
71GF Score
The Timken Co MEX:TKR
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

The Timken 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.

The Timken Co'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, The Timken Co's Interest Expense was MXN-1,986 Mil. Its Operating Income was MXN10,189 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN35,722 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*10189.426/-1986.029
=5.13

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

Here, for the three months ended in Mar. 2026, The Timken Co's Interest Expense was MXN-438 Mil. Its Operating Income was MXN3,105 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN38,348 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*3105.231/-438.195
=7.09

* 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 7.09 mean?
The Timken Co (MEX:TKR) has a Interest Coverage of 7.09 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Timken Co and its competitors. This is near median its historical median of 7.60. Over the past decade, The Timken Co's Interest Coverage has ranged from 4.88 to 8.89. According to the industry distribution chart, The Timken Co ranks #1671 out of 2322 companies in the Industrial Products industry, placing it in the top 72%.
Is The Timken Co's Interest Coverage too high?
The Timken Co's current Interest Coverage of 7.09 is near median its 10-year median of 7.60. Over the past 10 years, this metric has ranged from a low of 4.88 to a high of 8.89. The Industrial Products industry median Interest Coverage is 14.78. The Timken Co's value of 7.09 is 52% below this industry median. Based on the distribution chart, The Timken Co ranks #1671 out of 2322 companies in the Industrial Products industry, which is below the industry midpoint. Overall, The Timken Co has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Timken Co's Interest Coverage compare to TTC and SWK?
According to the Industrial Products industry distribution chart, The Timken Co ranks #1671 out of 2322 companies for Interest Coverage. This places The Timken Co in the lower half of its industry. The industry median Interest Coverage is 14.78. The Timken Co's value of 7.09 is 52% below this benchmark. Historically, The Timken Co's own Interest Coverage has ranged from 4.88 to 8.89 over the past decade. While the company's 10-year median is 7.60 vs. the industry median of 14.78, The Timken Co 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 an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.78, based on 2,322 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. The Timken Co's current Interest Coverage of 7.09 is 52% 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 The Timken Co and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Timken Co's current Interest Coverage is 7.09, which is near median its own 10-year median of 7.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Timken Co stock overvalued right now?
Based on GuruFocus' analysis, The Timken Co (MEX:TKR) is currently considered Significantly Overvalued. The stock's GF Value™ is MXN1,547.04, compared to a current price of MXN2,560.00 — trading 65.5% above its estimated fair value. The current Interest Coverage is 7.09, which is near median its 10-year median of 7.60 and 52% below the Industrial Products industry median of 14.78. The Timken Co's overall GF Score™ is 71/100 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 The Timken Co (MEX:TKR), the current Interest Coverage is 7.09 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 The Timken Co (MEX:TKR) Overvalued in 2026?

Based on GuruFocus' analysis, The Timken Co stock appears to be overvalued. The current stock price of MXN2,560.00 is trading 65.5% above its estimated GF Value™ of MXN1,547.04. GuruFocus considers The Timken Co to be Significantly Overvalued.

Key valuation signals for MEX:TKR:

  • Interest Coverage: 7.09 (near median its 10-year median of 7.60)
  • GF Value™: MXN1,547.04 vs. price of MXN2,560.00 (65.5% above fair value)
  • GF Score™: 71/100 with 7 warning signs
  • Industry Position: 52% below the Industrial Products median (#1671 of 2322)

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


The Timken Co Business Description

Other Exchanges TKR:USATKH:Germany
Address 4500 Mount Pleasant Street NW, North Canton, OH, USA, 44720-5450
The Timken Co designs and manages a portfolio of engineered bearings and industrial motion products, and provides related services. The various products offered by the company include ball bearings, plain bearings, tapered roller bearings, housed bearings, linear guides, telescopic rails, lubrication systems, agricultural conveyor chains, couplings, brakes, seals, etc. These products are offered through brands like Timken, GGB, Philadelphia Gear, Cone Drive, CGI, and Rollon, among others. The company has two reportable segments: Engineered Bearings, which generates the maximum revenue, and Industrial Motion. Geographically, the company generates maximum revenue from the United States, followed by Europe, Middle East and Africa (EMEA), Asia-Pacific, and the other regions of the Americas.
71GF Score

Get the complete analysis for MEX:TKR

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

MXN2,560.00
Price
MXN1,547.04
GF Value