Net Lease Office PropertiesNLOP +2.25%42 Interest Coverage is 7.86 as of Mar. 2026, which is 407% above its 10-year median of 1.55. GuruFocus rates NLOP with a GF Score™ of 42/100 and a GF Value™ of $16.67 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 700 REITs companies, Net Lease Office Properties ranks better than 61.29% 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. Net Lease Office Properties's
Operating Income
for the
three
months ended in Mar. 2026 was $3.03 Mil. Net Lease Office Properties's Interest Expense for the
three
months ended in Mar. 2026 was $-0.39 Mil.
Net Lease Office Properties's interest coverage for the quarter that ended in Mar. 2026 was 7.86.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Net Lease Office Properties's Interest Coverage or its related term are showing as below:
NLOP'
s Interest Coverage Range Over the Past 10 Years
Min: 0.51 Med: 1.55 Max: 4.14
Current: 4.14
NLOP's Interest Coverage is ranked better than 61.29% of 700
companies
in the REITs industry
Industry Median: 3.095
vs NLOP: 4.14
Net Lease Office Properties (NYSE:NLOP) 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 .
Net Lease Office Properties Interest Coverage Related Terms
Net Lease Office Properties Interest Coverage Historical 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.
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.
Net Lease Office Properties Interest Coverage Chart
NLOP vs ONL, FSP, CMCT: Interest Coverage Comparison
For the REIT - Office subindustry, Net Lease Office Properties'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.
Net Lease Office Properties Interest Coverage vs REITs Industry
For the REITs industry and Real Estate sector, Net Lease Office Properties's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Net Lease Office Properties's Interest Coverage falls into.
Net Lease Office Properties 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.
Net Lease Office Properties (NLOP) has a Interest Coverage of 7.86 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Net Lease Office Properties and its competitors. This is 407% above median its historical median of 1.55. Over the past decade, Net Lease Office Properties' Interest Coverage has ranged from 0.51 to 4.14. According to the industry distribution chart, Net Lease Office Properties ranks #271 out of 700 companies in the REITs industry, placing it in the top 38.7%.
Is Net Lease Office Properties' Interest Coverage too high?
Net Lease Office Properties' current Interest Coverage of 7.86 is 407% above median its 10-year median of 1.55. Over the past 10 years, this metric has ranged from a low of 0.51 to a high of 4.14. The REITs industry median Interest Coverage is 3.10. Net Lease Office Properties' value of 7.86 is 154% above this industry median. Based on the distribution chart, Net Lease Office Properties ranks #271 out of 700 companies in the REITs industry, which is above the industry midpoint. Overall, Net Lease Office Properties has a GF Score™ of 42/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Net Lease Office Properties' Interest Coverage compare to ONL and FSP?
According to the REITs industry distribution chart, Net Lease Office Properties ranks #271 out of 700 companies for Interest Coverage. This puts Net Lease Office Properties in the upper half of its industry. The industry median Interest Coverage is 3.10. Net Lease Office Properties' value of 7.86 is 154% above this benchmark. Historically, Net Lease Office Properties' own Interest Coverage has ranged from 0.51 to 4.14 over the past decade. While the company's 10-year median is 1.55 vs. the industry median of 3.10, Net Lease Office Properties has consistently been above 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 REITs company?
The median Interest Coverage among REITs companies is 3.10, based on 700 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. Net Lease Office Properties's current Interest Coverage of 7.86 is 154% above 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 Net Lease Office Properties and its competitors. For the REITs industry, the median Interest Coverage is 3.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Net Lease Office Properties's current Interest Coverage is 7.86, which is 407% above median its own 10-year median of 1.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Net Lease Office Properties stock overvalued right now?
Based on GuruFocus' analysis, Net Lease Office Properties (NLOP) is currently considered Possible Value Trap. The stock's GF Value™ is $16.67, compared to a current price of $11.36 — trading 31.9% below its estimated fair value. The current Interest Coverage is 7.86, which is 407% above median its 10-year median of 1.55 and 154% above the REITs industry median of 3.10. Net Lease Office Properties' overall GF Score™ is 42/100 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 Net Lease Office Properties (NLOP), the current Interest Coverage is 7.86 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 Net Lease Office Properties (NLOP) Overvalued in 2026?
Based on GuruFocus' analysis, Net Lease Office Properties stock appears to be undervalued.
The current stock price of $11.36 is trading 31.9% below its estimated GF Value™ of $16.67.
GuruFocus considers Net Lease Office Properties to be Possible Value Trap.
Key valuation signals for NLOP:
Interest Coverage: 7.86 (407% above median its 10-year median of 1.55)
GF Value™: $16.67 vs. price of $11.36 (31.9% below fair value)
Industry Position: 154% above the REITs median (#271 of 700)
No single metric tells the full story. See the NLOP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Net Lease Office Properties is a Maryland real estate investment trust that, together with its consolidated subsidiaries, owns, operates, and finances a diversified portfolio of office properties mainly leased to corporate tenants on a single-tenant, net-lease basis. The company operates as a single operating and reportable segment focused on owning and managing office properties that generate revenue mainly from long-term lease agreements with tenants.
42GF Score
Get the complete analysis for NLOP
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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