Sagar CementsNSE:SAGCEM -1.62%63 Interest Coverage is 0.29 as of Mar. 2026, which is 81% below its 10-year median of 1.52. GuruFocus rates NSE:SAGCEM with a GF Score™ of 63/100 and a GF Value™ of ₹1,835.20 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 307 Building Materials companies, Sagar Cements ranks worse than 99.35% 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. Sagar Cements's
Operating Income
for the
three
months ended in Mar. 2026 was ₹153 Mil. Sagar Cements's Interest Expense for the
three
months ended in Mar. 2026 was ₹-531 Mil.
Sagar Cements's interest coverage for the quarter that ended in Mar. 2026 was 0.29.
The higher the ratio, the stronger the company's financial strength is.
Warning Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Sagar Cements Ltds earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.
The historical rank and industry rank for Sagar Cements's Interest Coverage or its related term are showing as below:
NSE:SAGCEM'
s Interest Coverage Range Over the Past 10 Years
Min: 0.01 Med: 1.52 Max: 8.11
Current: 0.27
NSE:SAGCEM's Interest Coverage is ranked worse than 99.35% of 307
companies
in the Building Materials industry
Industry Median: 6.63
vs NSE:SAGCEM: 0.27
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 .
Sagar Cements Interest Coverage Related Terms
Sagar Cements Interest Coverage Historical Data
* Premium members only.
The historical data trend for Sagar Cements'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:SAGCEM vs CRH, VMC, MLM: Interest Coverage Comparison
For the Building Materials subindustry, Sagar Cements'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.
Sagar Cements Interest Coverage vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Sagar Cements's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Sagar Cements'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.
Sagar Cements (NSE:SAGCEM) has a Interest Coverage of 0.29 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sagar Cements and its competitors. This is 81% below median its historical median of 1.52. Over the past decade, Sagar Cements' Interest Coverage has ranged from 0.01 to 8.11. According to the industry distribution chart, Sagar Cements ranks #305 out of 307 companies in the Building Materials industry, placing it in the top 99.3%.
Is Sagar Cements' Interest Coverage too high?
Sagar Cements' current Interest Coverage of 0.29 is 81% below median its 10-year median of 1.52. Over the past 10 years, this metric has ranged from a low of 0.01 to a high of 8.11. The Building Materials industry median Interest Coverage is 6.63. Sagar Cements' value of 0.29 is 95.6% below this industry median. Based on the distribution chart, Sagar Cements ranks #305 out of 307 companies in the Building Materials industry, which is in the bottom quartile relative to peers. Overall, Sagar Cements has a GF Score™ of 63/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Sagar Cements' Interest Coverage compare to CRH and VMC?
According to the Building Materials industry distribution chart, Sagar Cements ranks #305 out of 307 companies for Interest Coverage. This places Sagar Cements in the lower half of its industry. The industry median Interest Coverage is 6.63. Sagar Cements' value of 0.29 is 95.6% below this benchmark. Historically, Sagar Cements' own Interest Coverage has ranged from 0.01 to 8.11 over the past decade. While the company's 10-year median is 1.52 vs. the industry median of 6.63, Sagar Cements 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 Building Materials company?
The median Interest Coverage among Building Materials companies is 6.63, based on 307 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. Sagar Cements's current Interest Coverage of 0.29 is 95.6% 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 Sagar Cements and its competitors. For the Building Materials industry, the median Interest Coverage is 6.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sagar Cements's current Interest Coverage is 0.29, which is 81% below median its own 10-year median of 1.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sagar Cements stock overvalued right now?
Based on GuruFocus' analysis, Sagar Cements (NSE:SAGCEM) is currently considered Possible Value Trap. The stock's GF Value™ is ₹1,835.20, compared to a current price of ₹175.44 — trading 90.4% below its estimated fair value. The current Interest Coverage is 0.29, which is 81% below median its 10-year median of 1.52 and 95.6% below the Building Materials industry median of 6.63. Sagar Cements' overall GF Score™ is 63/100 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 Sagar Cements (NSE:SAGCEM), the current Interest Coverage is 0.29 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 Sagar Cements (NSE:SAGCEM) Overvalued in 2026?
Based on GuruFocus' analysis, Sagar Cements stock appears to be undervalued.
The current stock price of ₹175.44 is trading 90.4% below its estimated GF Value™ of ₹1,835.20.
GuruFocus considers Sagar Cements to be Possible Value Trap.
Key valuation signals for NSE:SAGCEM:
Interest Coverage: 0.29 (81% below median its 10-year median of 1.52)
GF Value™: ₹1,835.20 vs. price of ₹175.44 (90.4% below fair value)
Industry Position: 95.6% below the Building Materials median (#305 of 307)
No single metric tells the full story. See the NSE:SAGCEM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sagar Cements Ltd is a manufacturer and supplier of cement and cement-related products in India. It manufactures varieties of cement such as Ordinary Portland Cement, Portland Pozzolana Cement (PPC), Sulphate Resisting Portland Cement (SRPC), Ground Granulated Blast Furnace Slag (GGBS), and Portland Slag Cement (PSC), and among others. The firm generates a majority of its revenue from the Sale of cement and clinker.
63GF Score
Get the complete analysis for NSE:SAGCEM
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
NSE:SAGCEM has been successfully added to your 
