Hindustan AeronauticsNSE:HAL -0.59%94 Interest Coverage is 1,067.23 as of Mar. 2026, which is 1026% above its 10-year median of 94.81. GuruFocus rates NSE:HAL with a GF Score™ of 94/100 and a GF Value™ of ₹4,699.69 (Fairly Valued). The stock has 3 warning signs investors should review. Among 241 Aerospace & Defense companies, Hindustan Aeronautics ranks better than 97.1% 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. Hindustan Aeronautics's
Operating Income
for the
three
months ended in Mar. 2026 was ₹44,290 Mil. Hindustan Aeronautics's Interest Expense for the
three
months ended in Mar. 2026 was ₹-42 Mil.
Hindustan Aeronautics's interest coverage for the quarter that ended in Mar. 2026 was 1,067.23.
The higher the ratio, the stronger the company's financial strength is.
Good Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Hindustan Aeronautics Ltd has enough cash to cover all of its debt. Its financial situation is stable.
The historical rank and industry rank for Hindustan Aeronautics's Interest Coverage or its related term are showing as below:
NSE:HAL'
s Interest Coverage Range Over the Past 10 Years
Min: 11.95 Med: 94.81 Max: 1455.5
Current: 1455.5
NSE:HAL's Interest Coverage is ranked better than 97.1% of 241
companies
in the Aerospace & Defense industry
Industry Median: 8.69
vs NSE:HAL: 1455.50
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 .
Hindustan Aeronautics Interest Coverage Related Terms
Hindustan Aeronautics Interest Coverage Historical Data
* Premium members only.
The historical data trend for Hindustan Aeronautics'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:HAL vs SPCX, GE, RTX: Interest Coverage Comparison
For the Aerospace & Defense subindustry, Hindustan Aeronautics'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.
Hindustan Aeronautics Interest Coverage vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Hindustan Aeronautics's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Hindustan Aeronautics'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.
Hindustan Aeronautics (NSE:HAL) has a Interest Coverage of 1,067.23 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Hindustan Aeronautics and its competitors. This is 1026% above median its historical median of 94.81. Over the past decade, Hindustan Aeronautics' Interest Coverage has ranged from 11.95 to 1,455.50. According to the industry distribution chart, Hindustan Aeronautics ranks #7 out of 241 companies in the Aerospace & Defense industry, placing it in the top 2.9%.
Is Hindustan Aeronautics' Interest Coverage too high?
Hindustan Aeronautics' current Interest Coverage of 1,067.23 is 1026% above median its 10-year median of 94.81. Over the past 10 years, this metric has ranged from a low of 11.95 to a high of 1,455.50. The Aerospace & Defense industry median Interest Coverage is 8.69. Hindustan Aeronautics' value of 1,067.23 is 12181.1% above this industry median. Based on the distribution chart, Hindustan Aeronautics ranks #7 out of 241 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Hindustan Aeronautics has a GF Score™ of 94/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hindustan Aeronautics' Interest Coverage compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Hindustan Aeronautics ranks #7 out of 241 companies for Interest Coverage. This places Hindustan Aeronautics in the top 3% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 8.69. Hindustan Aeronautics' value of 1,067.23 is 12181.1% above this benchmark. Historically, Hindustan Aeronautics' own Interest Coverage has ranged from 11.95 to 1,455.50 over the past decade. While the company's 10-year median is 94.81 vs. the industry median of 8.69, Hindustan Aeronautics 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 an Aerospace & Defense company?
The median Interest Coverage among Aerospace & Defense companies is 8.69, based on 241 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. Hindustan Aeronautics's current Interest Coverage of 1,067.23 is 12181.1% 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 Hindustan Aeronautics and its competitors. For the Aerospace & Defense industry, the median Interest Coverage is 8.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hindustan Aeronautics's current Interest Coverage is 1,067.23, which is 1026% above median its own 10-year median of 94.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hindustan Aeronautics stock overvalued right now?
Based on GuruFocus' analysis, Hindustan Aeronautics (NSE:HAL) is currently considered Fairly Valued. The stock's GF Value™ is ₹4,699.69, compared to a current price of ₹4,342.80 — trading 7.6% below its estimated fair value. The current Interest Coverage is 1,067.23, which is 1026% above median its 10-year median of 94.81 and 12181.1% above the Aerospace & Defense industry median of 8.69. Hindustan Aeronautics' overall GF Score™ is 94/100 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 Hindustan Aeronautics (NSE:HAL), the current Interest Coverage is 1,067.23 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 Hindustan Aeronautics (NSE:HAL) Overvalued in 2026?
Based on GuruFocus' analysis, Hindustan Aeronautics stock appears to be undervalued.
The current stock price of ₹4,342.80 is trading 7.6% below its estimated GF Value™ of ₹4,699.69.
GuruFocus considers Hindustan Aeronautics to be Fairly Valued.
Key valuation signals for NSE:HAL:
Interest Coverage: 1,067.23 (1026% above median its 10-year median of 94.81)
GF Value™: ₹4,699.69 vs. price of ₹4,342.80 (7.6% below fair value)
Industry Position: 12181.1% above the Aerospace & Defense median (#7 of 241)
No single metric tells the full story. See the NSE:HAL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hindustan Aeronautics Ltd operates in the aerospace and defense sector. The company is engaged in the design, manufacturing, and development of products like aircraft, helicopters, systems and accessories, power plants, avionics, materials like castings, rolled rings, rubber products, and aerospace which include structures, tanks, and cryogenic engines. Geographically the company derives revenue from India and other countries, of which a majority of revenue is generated from India.
94GF Score
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