Emerald Tyre ManufacturersNSE:ETML -5.32%16 Interest Coverage is 2.45 as of Mar. 2025, which is 17% below its 10-year median of 2.96. GuruFocus rates NSE:ETML with a GF Score™ of 16/100. The stock has 3 warning signs investors should review. Among 1,066 Vehicles & Parts companies, Emerald Tyre Manufacturers ranks worse than 78.89% 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. Emerald Tyre Manufacturers's
Operating Income
for the
six
months ended in Mar. 2025 was ₹212 Mil. Emerald Tyre Manufacturers's Interest Expense for the
six
months ended in Mar. 2025 was ₹-86 Mil.
Emerald Tyre Manufacturers's interest coverage for the quarter that ended in Mar. 2025 was 2.45.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Emerald Tyre Manufacturers's Interest Coverage or its related term are showing as below:
NSE:ETML'
s Interest Coverage Range Over the Past 10 Years
Min: 1.05 Med: 2.96 Max: 3.42
Current: 2.45
NSE:ETML's Interest Coverage is ranked worse than 78.89% of 1066
companies
in the Vehicles & Parts industry
Industry Median: 8.295
vs NSE:ETML: 2.45
Emerald Tyre Manufacturers (NSE:ETML) 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 .
Emerald Tyre Manufacturers Interest Coverage Related Terms
Emerald Tyre Manufacturers 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.
Emerald Tyre Manufacturers Interest Coverage Chart
Emerald Tyre Manufacturers Annual Data
Trend
Mar21
Mar22
Mar23
Mar24
Mar25
Interest Coverage
1.05
3.42
3.15
2.96
2.45
Emerald Tyre Manufacturers Semi-Annual Data
Mar21
Mar22
Mar23
Mar24
Mar25
Interest Coverage
1.05
3.42
3.15
2.96
2.45
NSE:ETML vs ORLY, AZO: Interest Coverage Comparison
For the Auto Parts subindustry, Emerald Tyre Manufacturers'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.
Emerald Tyre Manufacturers Interest Coverage vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Emerald Tyre Manufacturers's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Emerald Tyre Manufacturers's Interest Coverage falls into.
Emerald Tyre Manufacturers 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.
Emerald Tyre Manufacturers (NSE:ETML) has a Interest Coverage of 2.45 as of Mar. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Emerald Tyre Manufacturers and its competitors. This is 17% below median its historical median of 2.96. Over the past decade, Emerald Tyre Manufacturers' Interest Coverage has ranged from 1.05 to 3.42. According to the industry distribution chart, Emerald Tyre Manufacturers ranks #841 out of 1066 companies in the Vehicles & Parts industry, placing it in the top 78.9%.
Is Emerald Tyre Manufacturers' Interest Coverage too high?
Emerald Tyre Manufacturers' current Interest Coverage of 2.45 is 17% below median its 10-year median of 2.96. Over the past 10 years, this metric has ranged from a low of 1.05 to a high of 3.42. The Vehicles & Parts industry median Interest Coverage is 8.30. Emerald Tyre Manufacturers' value of 2.45 is 70.5% below this industry median. Based on the distribution chart, Emerald Tyre Manufacturers ranks #841 out of 1066 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Emerald Tyre Manufacturers has a GF Score™ of 16/100, reflecting its overall financial health beyond just this single metric.
How does Emerald Tyre Manufacturers' Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Emerald Tyre Manufacturers ranks #841 out of 1066 companies for Interest Coverage. This places Emerald Tyre Manufacturers in the lower half of its industry. The industry median Interest Coverage is 8.30. Emerald Tyre Manufacturers' value of 2.45 is 70.5% below this benchmark. Historically, Emerald Tyre Manufacturers' own Interest Coverage has ranged from 1.05 to 3.42 over the past decade. While the company's 10-year median is 2.96 vs. the industry median of 8.30, Emerald Tyre Manufacturers 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 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. Emerald Tyre Manufacturers's current Interest Coverage of 2.45 is 70.5% 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 Emerald Tyre Manufacturers 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. Emerald Tyre Manufacturers's current Interest Coverage is 2.45, which is 17% below median its own 10-year median of 2.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Emerald Tyre Manufacturers stock overvalued right now?
Emerald Tyre Manufacturers (NSE:ETML) has a current Interest Coverage of 2.45. The current Interest Coverage is 2.45, which is 17% below median its 10-year median of 2.96 and 70.5% below the Vehicles & Parts industry median of 8.30. Emerald Tyre Manufacturers' overall GF Score™ is 16/100 with 3 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 Emerald Tyre Manufacturers (NSE:ETML), the current Interest Coverage is 2.45 as of Mar. 2025. 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.
Emerald Tyre Manufacturers Ltd is engaged in the Business of Manufacturing, Supplying and Services for a comprehensive range of tyres for material handling applications, like forklifts, skid loaders, ground support equipment of Airports, Port trailers, agri implements, lawn and garden mowers, mining equipment, aerial work platform trucks, backhoe loaders, etc.
16GF Score
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