ThermaxNSE:THERMAX -3.97%76 Interest Coverage is 18.17 as of Mar. 2026, which is 8% above its 10-year median of 16.86. GuruFocus rates NSE:THERMAX with a GF Score™ of 76/100 and a GF Value™ of ₹3,885.02 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 428 Conglomerates companies, Thermax ranks better than 61.92% 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. Thermax's
Operating Income
for the
three
months ended in Mar. 2026 was ₹7,695 Mil. Thermax's Interest Expense for the
three
months ended in Mar. 2026 was ₹-424 Mil.
Thermax's interest coverage for the quarter that ended in Mar. 2026 was 18.17.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Thermax's Interest Coverage or its related term are showing as below:
NSE:THERMAX'
s Interest Coverage Range Over the Past 10 Years
Min: 7.89 Med: 16.86 Max: 38.52
Current: 9.12
NSE:THERMAX's Interest Coverage is ranked better than 61.92% of 428
companies
in the Conglomerates industry
Industry Median: 5.31
vs NSE:THERMAX: 9.12
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 .
Thermax Interest Coverage Related Terms
Thermax Interest Coverage Historical Data
* Premium members only.
The historical data trend for Thermax'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:THERMAX vs HON, MMM: Interest Coverage Comparison
For the Conglomerates subindustry, Thermax'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.
Thermax Interest Coverage vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Thermax's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Thermax'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.
Thermax (NSE:THERMAX) has a Interest Coverage of 18.17 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Thermax and its competitors. This is near median its historical median of 16.86. Over the past decade, Thermax's Interest Coverage has ranged from 7.89 to 38.52. According to the industry distribution chart, Thermax ranks #163 out of 428 companies in the Conglomerates industry, placing it in the top 38.1%.
Is Thermax's Interest Coverage too high?
Thermax's current Interest Coverage of 18.17 is near median its 10-year median of 16.86. Over the past 10 years, this metric has ranged from a low of 7.89 to a high of 38.52. The Conglomerates industry median Interest Coverage is 5.31. Thermax's value of 18.17 is 242.2% above this industry median. Based on the distribution chart, Thermax ranks #163 out of 428 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Thermax has a GF Score™ of 76/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Thermax's Interest Coverage compare to HON and MMM?
According to the Conglomerates industry distribution chart, Thermax ranks #163 out of 428 companies for Interest Coverage. This puts Thermax in the upper half of its industry. The industry median Interest Coverage is 5.31. Thermax's value of 18.17 is 242.2% above this benchmark. Historically, Thermax's own Interest Coverage has ranged from 7.89 to 38.52 over the past decade. While the company's 10-year median is 16.86 vs. the industry median of 5.31, Thermax 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 Conglomerates company?
The median Interest Coverage among Conglomerates companies is 5.31, based on 428 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. Thermax's current Interest Coverage of 18.17 is 242.2% 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 Thermax and its competitors. For the Conglomerates industry, the median Interest Coverage is 5.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Thermax's current Interest Coverage is 18.17, which is near median its own 10-year median of 16.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Thermax stock overvalued right now?
Based on GuruFocus' analysis, Thermax (NSE:THERMAX) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹3,885.02, compared to a current price of ₹4,917.00 — trading 26.6% above its estimated fair value. The current Interest Coverage is 18.17, which is near median its 10-year median of 16.86 and 242.2% above the Conglomerates industry median of 5.31. Thermax's overall GF Score™ is 76/100 with 7 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 Thermax (NSE:THERMAX), the current Interest Coverage is 18.17 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 Thermax (NSE:THERMAX) Overvalued in 2026?
Based on GuruFocus' analysis, Thermax stock appears to be overvalued.
The current stock price of ₹4,917.00 is trading 26.6% above its estimated GF Value™ of ₹3,885.02.
GuruFocus considers Thermax to be Modestly Overvalued.
Key valuation signals for NSE:THERMAX:
Interest Coverage: 18.17 (near median its 10-year median of 16.86)
GF Value™: ₹3,885.02 vs. price of ₹4,917.00 (26.6% above fair value)
Industry Position: 242.2% above the Conglomerates median (#163 of 428)
No single metric tells the full story. See the NSE:THERMAX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Thermax Ltd is a company that provides engineering solutions. The company operates through four reportable segments which are industrial products, industrial infra, green solutions, and chemicals. It earns the majority of its revenue from the Industrial Infra segment. The Company's portfolio includes boilers and heaters, absorption chillers/heat pumps, power plants, solar equipment, related services, air pollution control equipment/system, water and waste recycle plants, ion exchange resins and performance chemicals and related services The company generates more than half of its revenue from India.
76GF Score
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