Greaves CottonNSE:GREAVESCOT -1.93%74 Interest Coverage is 4.06 as of Mar. 2026, which is 41% below its 10-year median of 6.87. GuruFocus rates NSE:GREAVESCOT with a GF Score™ of 74/100 and a GF Value™ of ₹211.68 (Fairly Valued). The stock has 5 warning signs investors should review. Among 2,325 Industrial Products companies, Greaves Cotton ranks worse than 73.03% 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. Greaves Cotton's
Operating Income
for the
three
months ended in Mar. 2026 was ₹405 Mil. Greaves Cotton's Interest Expense for the
three
months ended in Mar. 2026 was ₹-100 Mil.
Greaves Cotton's interest coverage for the quarter that ended in Mar. 2026 was 4.06.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Greaves Cotton's Interest Coverage or its related term are showing as below:
NSE:GREAVESCOT'
s Interest Coverage Range Over the Past 10 Years
Min: 1.28 Med: 6.87 Max: 258.34
Current: 5
NSE:GREAVESCOT's Interest Coverage is ranked worse than 73.03% of 2325
companies
in the Industrial Products industry
Industry Median: 14.87
vs NSE:GREAVESCOT: 5.00
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 .
Greaves Cotton Interest Coverage Related Terms
Greaves Cotton Interest Coverage Historical Data
* Premium members only.
The historical data trend for Greaves Cotton'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:GREAVESCOT vs GEV, ETN, PH: Interest Coverage Comparison
For the Specialty Industrial Machinery subindustry, Greaves Cotton'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.
Greaves Cotton Interest Coverage vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Greaves Cotton's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Greaves Cotton'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.
Greaves Cotton (NSE:GREAVESCOT) has a Interest Coverage of 4.06 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Greaves Cotton and its competitors. This is 41% below median its historical median of 6.87. Over the past decade, Greaves Cotton's Interest Coverage has ranged from 1.28 to 258.34. According to the industry distribution chart, Greaves Cotton ranks #1698 out of 2325 companies in the Industrial Products industry, placing it in the top 73%.
Is Greaves Cotton's Interest Coverage too high?
Greaves Cotton's current Interest Coverage of 4.06 is 41% below median its 10-year median of 6.87. Over the past 10 years, this metric has ranged from a low of 1.28 to a high of 258.34. The Industrial Products industry median Interest Coverage is 14.87. Greaves Cotton's value of 4.06 is 72.7% below this industry median. Based on the distribution chart, Greaves Cotton ranks #1698 out of 2325 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Greaves Cotton has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Greaves Cotton's Interest Coverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Greaves Cotton ranks #1698 out of 2325 companies for Interest Coverage. This places Greaves Cotton in the lower half of its industry. The industry median Interest Coverage is 14.87. Greaves Cotton's value of 4.06 is 72.7% below this benchmark. Historically, Greaves Cotton's own Interest Coverage has ranged from 1.28 to 258.34 over the past decade. While the company's 10-year median is 6.87 vs. the industry median of 14.87, Greaves Cotton 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 14.87, based on 2,325 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. Greaves Cotton's current Interest Coverage of 4.06 is 72.7% 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 Greaves Cotton and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Greaves Cotton's current Interest Coverage is 4.06, which is 41% below median its own 10-year median of 6.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Greaves Cotton stock overvalued right now?
Based on GuruFocus' analysis, Greaves Cotton (NSE:GREAVESCOT) is currently considered Fairly Valued. The stock's GF Value™ is ₹211.68, compared to a current price of ₹226.57 — trading 7% above its estimated fair value. The current Interest Coverage is 4.06, which is 41% below median its 10-year median of 6.87 and 72.7% below the Industrial Products industry median of 14.87. Greaves Cotton's overall GF Score™ is 74/100 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 Greaves Cotton (NSE:GREAVESCOT), the current Interest Coverage is 4.06 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 Greaves Cotton (NSE:GREAVESCOT) Overvalued in 2026?
Based on GuruFocus' analysis, Greaves Cotton stock appears to be overvalued.
The current stock price of ₹226.57 is trading 7% above its estimated GF Value™ of ₹211.68.
GuruFocus considers Greaves Cotton to be Fairly Valued.
Key valuation signals for NSE:GREAVESCOT:
Interest Coverage: 4.06 (41% below median its 10-year median of 6.87)
GF Value™: ₹211.68 vs. price of ₹226.57 (7% above fair value)
Industry Position: 72.7% below the Industrial Products median (#1698 of 2325)
No single metric tells the full story. See the NSE:GREAVESCOT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Greaves Cotton Ltd is a diversified engineering company. It is a manufacturer and marketer of diesel engines, petrol engines, generator sets, pump sets, and construction equipment. Its product is used in automotive, marine, farm, construction, and industrial applications. The company's reportable operating segments include Engines, Electric mobility and other vehicles, Cables & Control Levers, and Others. The majority of its revenue is generated from the Engines segment, which includes the application of engines in farm equipment, gensets, and spares produced by Greaves. Geographically, the company generates maximum revenue from its domestic markets, and also has an overseas presence.
74GF Score
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