Madras FertilizersNSE:MADRASFERT -2.57%69 Interest Coverage is 2.18 as of Mar. 2026, which is 30% above its 10-year median of 1.68. GuruFocus rates NSE:MADRASFERT with a GF Score™ of 69/100 and a GF Value™ of ₹257.63 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 198 Agriculture companies, Madras Fertilizers ranks worse than 89.9% 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. Madras Fertilizers's
Operating Income
for the
three
months ended in Mar. 2026 was ₹322 Mil. Madras Fertilizers's Interest Expense for the
three
months ended in Mar. 2026 was ₹-148 Mil.
Madras Fertilizers's interest coverage for the quarter that ended in Mar. 2026 was 2.18.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Madras Fertilizers's Interest Coverage or its related term are showing as below:
NSE:MADRASFERT'
s Interest Coverage Range Over the Past 10 Years
Min: 0.4 Med: 1.68 Max: 4.27
Current: 1.63
NSE:MADRASFERT's Interest Coverage is ranked worse than 89.9% of 198
companies
in the Agriculture industry
Industry Median: 7.24
vs NSE:MADRASFERT: 1.63
Madras Fertilizers (NSE:MADRASFERT) 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 .
Madras Fertilizers Interest Coverage Related Terms
Madras Fertilizers Interest Coverage Historical Data
* Premium members only.
The historical data trend for Madras Fertilizers'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:MADRASFERT vs CTVA, CF, MOS: Interest Coverage Comparison
For the Agricultural Inputs subindustry, Madras Fertilizers'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.
Madras Fertilizers Interest Coverage vs Agriculture Industry
For the Agriculture industry and Basic Materials sector, Madras Fertilizers's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Madras Fertilizers'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.
Madras Fertilizers (NSE:MADRASFERT) has a Interest Coverage of 2.18 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Madras Fertilizers and its competitors. This is 30% above median its historical median of 1.68. Over the past decade, Madras Fertilizers' Interest Coverage has ranged from 0.40 to 4.27. According to the industry distribution chart, Madras Fertilizers ranks #178 out of 198 companies in the Agriculture industry, placing it in the top 89.9%.
Is Madras Fertilizers' Interest Coverage too high?
Madras Fertilizers' current Interest Coverage of 2.18 is 30% above median its 10-year median of 1.68. Over the past 10 years, this metric has ranged from a low of 0.40 to a high of 4.27. The Agriculture industry median Interest Coverage is 7.24. Madras Fertilizers' value of 2.18 is 69.9% below this industry median. Based on the distribution chart, Madras Fertilizers ranks #178 out of 198 companies in the Agriculture industry, which is in the bottom quartile relative to peers. Overall, Madras Fertilizers has a GF Score™ of 69/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Madras Fertilizers' Interest Coverage compare to CTVA and CF?
According to the Agriculture industry distribution chart, Madras Fertilizers ranks #178 out of 198 companies for Interest Coverage. This places Madras Fertilizers in the lower half of its industry. The industry median Interest Coverage is 7.24. Madras Fertilizers' value of 2.18 is 69.9% below this benchmark. Historically, Madras Fertilizers' own Interest Coverage has ranged from 0.40 to 4.27 over the past decade. While the company's 10-year median is 1.68 vs. the industry median of 7.24, Madras Fertilizers 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 Agriculture company?
The median Interest Coverage among Agriculture companies is 7.24, based on 198 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. Madras Fertilizers's current Interest Coverage of 2.18 is 69.9% 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 Madras Fertilizers and its competitors. For the Agriculture industry, the median Interest Coverage is 7.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Madras Fertilizers's current Interest Coverage is 2.18, which is 30% above median its own 10-year median of 1.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Madras Fertilizers stock overvalued right now?
Based on GuruFocus' analysis, Madras Fertilizers (NSE:MADRASFERT) is currently considered Possible Value Trap. The stock's GF Value™ is ₹257.63, compared to a current price of ₹67.00 — trading 74% below its estimated fair value. The current Interest Coverage is 2.18, which is 30% above median its 10-year median of 1.68 and 69.9% below the Agriculture industry median of 7.24. Madras Fertilizers' overall GF Score™ is 69/100 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 Madras Fertilizers (NSE:MADRASFERT), the current Interest Coverage is 2.18 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 Madras Fertilizers (NSE:MADRASFERT) Overvalued in 2026?
Based on GuruFocus' analysis, Madras Fertilizers stock appears to be undervalued.
The current stock price of ₹67.00 is trading 74% below its estimated GF Value™ of ₹257.63.
GuruFocus considers Madras Fertilizers to be Possible Value Trap.
Key valuation signals for NSE:MADRASFERT:
Interest Coverage: 2.18 (30% above median its 10-year median of 1.68)
GF Value™: ₹257.63 vs. price of ₹67.00 (74% below fair value)
Industry Position: 69.9% below the Agriculture median (#178 of 198)
No single metric tells the full story. See the NSE:MADRASFERT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Madras Fertilizers Ltd is engaged in the manufacture of ammonia, urea, and complex fertilizers. It is also engaged in manufacturing bio-fertilizers and marketing fertilizers and agrochemicals under the brand name Vijay. The company operates through the manufacture and sale of fertilizers segment. It also provides biofertilizers, including Azospirillum for paddy, plantation crops, and other crops; Rhizobium for groundnuts and pulses; and Phosphor Bacteria and NP Bio for various crops.
69GF Score
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