Petronet LNGNSE:PETRONET +1.49%87 Interest Coverage is 18.85 as of Mar. 2026, which is 22% above its 10-year median of 15.40. GuruFocus rates NSE:PETRONET with a GF Score™ of 87/100 and a GF Value™ of ₹254.18 (Fairly Valued). The stock has 4 warning signs investors should review. Among 727 Oil & Gas companies, Petronet LNG ranks better than 72.63% 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. Petronet LNG's
Operating Income
for the
three
months ended in Mar. 2026 was ₹11,599 Mil. Petronet LNG's Interest Expense for the
three
months ended in Mar. 2026 was ₹-615 Mil.
Petronet LNG's interest coverage for the quarter that ended in Mar. 2026 was 18.85.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Petronet LNG's Interest Coverage or its related term are showing as below:
NSE:PETRONET'
s Interest Coverage Range Over the Past 10 Years
Min: 8.67 Med: 15.4 Max: 32.49
Current: 18.77
NSE:PETRONET's Interest Coverage is ranked better than 72.63% of 727
companies
in the Oil & Gas industry
Industry Median: 5.88
vs NSE:PETRONET: 18.77
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 .
Petronet LNG Interest Coverage Related Terms
Petronet LNG Interest Coverage Historical Data
* Premium members only.
The historical data trend for Petronet LNG'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:PETRONET vs VLO, MPC, PSX: Interest Coverage Comparison
For the Oil & Gas Refining & Marketing subindustry, Petronet LNG'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.
Petronet LNG Interest Coverage vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Petronet LNG's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Petronet LNG'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.
Petronet LNG (NSE:PETRONET) has a Interest Coverage of 18.85 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Petronet LNG and its competitors. This is 22% above median its historical median of 15.40. Over the past decade, Petronet LNG's Interest Coverage has ranged from 8.67 to 32.49. According to the industry distribution chart, Petronet LNG ranks #199 out of 727 companies in the Oil & Gas industry, placing it in the top 27.4%.
Is Petronet LNG's Interest Coverage too high?
Petronet LNG's current Interest Coverage of 18.85 is 22% above median its 10-year median of 15.40. Over the past 10 years, this metric has ranged from a low of 8.67 to a high of 32.49. The Oil & Gas industry median Interest Coverage is 5.88. Petronet LNG's value of 18.85 is 220.6% above this industry median. Based on the distribution chart, Petronet LNG ranks #199 out of 727 companies in the Oil & Gas industry, which is above the industry midpoint. Overall, Petronet LNG has a GF Score™ of 87/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Petronet LNG's Interest Coverage compare to VLO and MPC?
According to the Oil & Gas industry distribution chart, Petronet LNG ranks #199 out of 727 companies for Interest Coverage. This puts Petronet LNG in the upper half of its industry. The industry median Interest Coverage is 5.88. Petronet LNG's value of 18.85 is 220.6% above this benchmark. Historically, Petronet LNG's own Interest Coverage has ranged from 8.67 to 32.49 over the past decade. While the company's 10-year median is 15.40 vs. the industry median of 5.88, Petronet LNG 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 Oil & Gas company?
The median Interest Coverage among Oil & Gas companies is 5.88, based on 727 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. Petronet LNG's current Interest Coverage of 18.85 is 220.6% 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 Petronet LNG and its competitors. For the Oil & Gas industry, the median Interest Coverage is 5.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Petronet LNG's current Interest Coverage is 18.85, which is 22% above median its own 10-year median of 15.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Petronet LNG stock overvalued right now?
Based on GuruFocus' analysis, Petronet LNG (NSE:PETRONET) is currently considered Fairly Valued. The stock's GF Value™ is ₹254.18, compared to a current price of ₹279.60 — trading 10% above its estimated fair value. The current Interest Coverage is 18.85, which is 22% above median its 10-year median of 15.40 and 220.6% above the Oil & Gas industry median of 5.88. Petronet LNG's overall GF Score™ is 87/100 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 Petronet LNG (NSE:PETRONET), the current Interest Coverage is 18.85 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 Petronet LNG (NSE:PETRONET) Overvalued in 2026?
Based on GuruFocus' analysis, Petronet LNG stock appears to be overvalued.
The current stock price of ₹279.60 is trading 10% above its estimated GF Value™ of ₹254.18.
GuruFocus considers Petronet LNG to be Fairly Valued.
Key valuation signals for NSE:PETRONET:
Interest Coverage: 18.85 (22% above median its 10-year median of 15.40)
GF Value™: ₹254.18 vs. price of ₹279.60 (10% above fair value)
Industry Position: 220.6% above the Oil & Gas median (#199 of 727)
No single metric tells the full story. See the NSE:PETRONET stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Petronet LNG Ltd is an oil and gas refining and marketing company formed by the government of India. The company operates liquified natural gas receiving and regasification terminals across India. Through its terminals, it also offers tolling services and re-loading terminals. The company has a single operating segment which is Natural Gas Business. Petronet LNG also owns a solid cargo port at Dahej with facilities to import and export products such as steel, coal, and fertilizer in bulk. Sales are largely composed of regasified liquefied natural gas and the majority of its revenue is derived from India.
87GF Score
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