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. Sarda Energy & Minerals's
Operating Income
for the
three
months ended in Mar. 2026 was ₹2,593 Mil. Sarda Energy & Minerals's Interest Expense for the
three
months ended in Mar. 2026 was ₹-535 Mil.
Sarda Energy & Minerals's interest coverage for the quarter that ended in Mar. 2026 was 4.84.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Sarda Energy & Minerals's Interest Coverage or its related term are showing as below:
NSE:SARDAEN'
s Interest Coverage Range Over the Past 10 Years
Min: 1.78 Med: 5.06 Max: 9.04
Current: 5.93
NSE:SARDAEN's Interest Coverage is ranked better than 56.14% of 456
companies
in the Steel industry
Industry Median: 4.445
vs NSE:SARDAEN: 5.93
Sarda Energy & Minerals (NSE:SARDAEN) 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 .
Sarda Energy & Minerals Interest Coverage Related Terms
Sarda Energy & Minerals Interest Coverage Historical Data
* Premium members only.
The historical data trend for Sarda Energy & Minerals'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:SARDAEN vs NUE, STLD, RS: Interest Coverage Comparison
For the Steel subindustry, Sarda Energy & Minerals'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.
Sarda Energy & Minerals Interest Coverage vs Steel Industry
For the Steel industry and Basic Materials sector, Sarda Energy & Minerals's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Sarda Energy & Minerals's Interest Coverage falls into.
Sarda Energy & Minerals Interest Coverage Calculation
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.
Sarda Energy & Minerals (NSE:SARDAEN) has a Interest Coverage of 4.84 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sarda Energy & Minerals and its competitors. This is near median its historical median of 5.06. Over the past decade, Sarda Energy & Minerals' Interest Coverage has ranged from 1.78 to 9.04. According to the industry distribution chart, Sarda Energy & Minerals ranks #200 out of 456 companies in the Steel industry, placing it in the top 43.9%.
Is Sarda Energy & Minerals' Interest Coverage too high?
Sarda Energy & Minerals' current Interest Coverage of 4.84 is near median its 10-year median of 5.06. Over the past 10 years, this metric has ranged from a low of 1.78 to a high of 9.04. The Steel industry median Interest Coverage is 4.45. Sarda Energy & Minerals' value of 4.84 is 8.9% above this industry median. Based on the distribution chart, Sarda Energy & Minerals ranks #200 out of 456 companies in the Steel industry, which is above the industry midpoint. Overall, Sarda Energy & Minerals has a GF Score™ of 91/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Sarda Energy & Minerals' Interest Coverage compare to NUE and STLD?
According to the Steel industry distribution chart, Sarda Energy & Minerals ranks #200 out of 456 companies for Interest Coverage. This puts Sarda Energy & Minerals in the upper half of its industry. The industry median Interest Coverage is 4.45. Sarda Energy & Minerals' value of 4.84 is 8.9% above this benchmark. Historically, Sarda Energy & Minerals' own Interest Coverage has ranged from 1.78 to 9.04 over the past decade. While the company's 10-year median is 5.06 vs. the industry median of 4.45, Sarda Energy & Minerals 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 a Steel company?
The median Interest Coverage among Steel companies is 4.45, based on 456 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. Sarda Energy & Minerals's current Interest Coverage of 4.84 is 8.9% 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 Sarda Energy & Minerals and its competitors. For the Steel industry, the median Interest Coverage is 4.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sarda Energy & Minerals's current Interest Coverage is 4.84, which is near median its own 10-year median of 5.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sarda Energy & Minerals stock overvalued right now?
Based on GuruFocus' analysis, Sarda Energy & Minerals (NSE:SARDAEN) is currently considered Fairly Valued. The stock's GF Value™ is ₹530.25, compared to a current price of ₹500.95 — trading 5.5% below its estimated fair value. The current Interest Coverage is 4.84, which is near median its 10-year median of 5.06 and 8.9% above the Steel industry median of 4.45. Sarda Energy & Minerals' overall GF Score™ is 91/100. 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 Sarda Energy & Minerals (NSE:SARDAEN), the current Interest Coverage is 4.84 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 Sarda Energy & Minerals (NSE:SARDAEN) Overvalued in 2026?
Based on GuruFocus' analysis, Sarda Energy & Minerals stock appears to be undervalued.
The current stock price of ₹500.95 is trading 5.5% below its estimated GF Value™ of ₹530.25.
GuruFocus considers Sarda Energy & Minerals to be Fairly Valued.
Key valuation signals for NSE:SARDAEN:
Interest Coverage: 4.84 (near median its 10-year median of 5.06)
GF Value™: ₹530.25 vs. price of ₹500.95 (5.5% below fair value)
Industry Position: 8.9% above the Steel median (#200 of 456)
No single metric tells the full story. See the NSE:SARDAEN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sarda Energy & Minerals Ltd is an Indian based company has integrated steel manufacturing facility starting from iron ore mining to the finished steel in the form of wire rod and H.B. wire and also through its subsidiary engaged in the business of generation of power. It is also provides manufacturer and exporter of Ferro Alloys and promoted hydropower projects through SPVs. The group operates in the business segment of Steel, Ferro Alloys, and Power. It generates a majority of its revenue from the Steel segment. The company's products include Pellets, Sponge Iron (DRI), Steel Billets & Wire Rods, Ferro Alloys, Power, and Eco-Bricks Mining.
91GF Score
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