DCM ShriramNSE:DCMSHRIRAM +0.56%72 Interest Coverage is 5.43 as of Mar. 2026, which is 50% below its 10-year median of 10.95. GuruFocus rates NSE:DCMSHRIRAM with a GF Score™ of 72/100 and a GF Value™ of ₹1,244.42 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 428 Conglomerates companies, DCM Shriram ranks better than 50.93% 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. DCM Shriram's
Operating Income
for the
three
months ended in Mar. 2026 was ₹2,152 Mil. DCM Shriram's Interest Expense for the
three
months ended in Mar. 2026 was ₹-397 Mil.
DCM Shriram's interest coverage for the quarter that ended in Mar. 2026 was 5.43.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for DCM Shriram's Interest Coverage or its related term are showing as below:
NSE:DCMSHRIRAM'
s Interest Coverage Range Over the Past 10 Years
Min: 5.66 Med: 10.95 Max: 30.71
Current: 5.66
NSE:DCMSHRIRAM's Interest Coverage is ranked better than 50.93% of 428
companies
in the Conglomerates industry
Industry Median: 5.31
vs NSE:DCMSHRIRAM: 5.66
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 .
DCM Shriram Interest Coverage Related Terms
DCM Shriram Interest Coverage Historical Data
* Premium members only.
The historical data trend for DCM Shriram'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.
NSE:DCMSHRIRAM vs HON, MMM: Interest Coverage Comparison
For the Conglomerates subindustry, DCM Shriram'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.
DCM Shriram Interest Coverage vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, DCM Shriram's Interest Coverage distribution charts can be found below:
* The bar in red indicates where DCM Shriram's Interest Coverage falls into.
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.
DCM Shriram (NSE:DCMSHRIRAM) has a Interest Coverage of 5.43 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on DCM Shriram and its competitors. This is 50% below median its historical median of 10.95. Over the past decade, DCM Shriram's Interest Coverage has ranged from 5.66 to 30.71. According to the industry distribution chart, DCM Shriram ranks #210 out of 428 companies in the Conglomerates industry, placing it in the top 49.1%.
Is DCM Shriram's Interest Coverage too high?
DCM Shriram's current Interest Coverage of 5.43 is 50% below median its 10-year median of 10.95. Over the past 10 years, this metric has ranged from a low of 5.66 to a high of 30.71. The Conglomerates industry median Interest Coverage is 5.31. DCM Shriram's value of 5.43 is 2.3% above this industry median. Based on the distribution chart, DCM Shriram ranks #210 out of 428 companies in the Conglomerates industry, which is above the industry midpoint. Overall, DCM Shriram has a GF Score™ of 72/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does DCM Shriram's Interest Coverage compare to HON and MMM?
According to the Conglomerates industry distribution chart, DCM Shriram ranks #210 out of 428 companies for Interest Coverage. This puts DCM Shriram in the upper half of its industry. The industry median Interest Coverage is 5.31. DCM Shriram's value of 5.43 is 2.3% above this benchmark. Historically, DCM Shriram's own Interest Coverage has ranged from 5.66 to 30.71 over the past decade. While the company's 10-year median is 10.95 vs. the industry median of 5.31, DCM Shriram 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 Conglomerates company?
The median Interest Coverage among Conglomerates companies is 5.31, based on 428 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. DCM Shriram's current Interest Coverage of 5.43 is 2.3% 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 DCM Shriram and its competitors. For the Conglomerates industry, the median Interest Coverage is 5.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DCM Shriram's current Interest Coverage is 5.43, which is 50% below median its own 10-year median of 10.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DCM Shriram stock overvalued right now?
Based on GuruFocus' analysis, DCM Shriram (NSE:DCMSHRIRAM) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹1,244.42, compared to a current price of ₹1,019.70 — trading 18.1% below its estimated fair value. The current Interest Coverage is 5.43, which is 50% below median its 10-year median of 10.95 and 2.3% above the Conglomerates industry median of 5.31. DCM Shriram's overall GF Score™ is 72/100 with 4 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 DCM Shriram (NSE:DCMSHRIRAM), the current Interest Coverage is 5.43 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 DCM Shriram (NSE:DCMSHRIRAM) Overvalued in 2026?
Based on GuruFocus' analysis, DCM Shriram stock appears to be undervalued.
The current stock price of ₹1,019.70 is trading 18.1% below its estimated GF Value™ of ₹1,244.42.
GuruFocus considers DCM Shriram to be Modestly Undervalued.
Key valuation signals for NSE:DCMSHRIRAM:
Interest Coverage: 5.43 (50% below median its 10-year median of 10.95)
GF Value™: ₹1,244.42 vs. price of ₹1,019.70 (18.1% below fair value)
Industry Position: 2.3% above the Conglomerates median (#210 of 428)
No single metric tells the full story. See the NSE:DCMSHRIRAM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
DCM Shriram Ltd is an Indian conglomerate company which comprises of Agri-Rural, Chlor-Vinyl and value-added businesses. The company's business activities include the manufacture of fertilisers and pesticides, basic inorganic chemicals N.E.C and refining sugar. The company produces Urea & SSP fertilisers, sugar, farm inputs such as DAP, caustic soda, chlorine, calcium carbide, PVC resins, PVC compounds, power, and cement. Its Agri-input business produces hybrid seeds, pesticides, Bulk fertilizers, micro-nutrients and other value-added inputs. In addition, company engaged in research, production, processing, extension activities and marketing. The company manages its business in six segments; Fertilisers, Chloro-Vinyl, Shriram Farm solution, Bioseed, Sugar, and others.
72GF Score
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