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NorthWestern Energy GroupNWE +0.27%76 Interest Coverage is 1.59 as of Jun. 2026, which is 40% below its 10-year median of 2.66. GuruFocus rates NWE with a GF Score™ of 76/100 and a GF Value™ of $61.97 (Modestly Overvalued). The stock has 12 warning signs investors should review. Among 447 Utilities - Regulated companies, NorthWestern Energy Group ranks worse than 81.43% 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. NorthWestern Energy Group's
Operating Income
for the
three
months ended in Jun. 2026 was $64 Mil. NorthWestern Energy Group's Interest Expense for the
three
months ended in Jun. 2026 was $-40 Mil.
NorthWestern Energy Group's interest coverage for the quarter that ended in Jun. 2026 was 1.59.
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. NorthWestern Energy Group Inc interest coverage is 2.02, which is low.
The historical rank and industry rank for NorthWestern Energy Group's Interest Coverage or its related term are showing as below:
NWE'
s Interest Coverage Range Over the Past 10 Years
Min: 2.02 Med: 2.66 Max: 2.95
Current: 2.02
NWE's Interest Coverage is ranked worse than 81.43% of 447
companies
in the Utilities - Regulated industry
Industry Median: 3.98
vs NWE: 2.02
NorthWestern Energy Group (NAS:NWE) 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 .
NorthWestern Energy Group Interest Coverage Related Terms
NorthWestern Energy Group Interest Coverage Historical Data
* 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.
NWE vs MGEE, POR, TXNM: Interest Coverage Comparison
For the Utilities - Regulated Electric subindustry, NorthWestern Energy Group'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.
NorthWestern Energy Group Interest Coverage vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, NorthWestern Energy Group's Interest Coverage distribution charts can be found below:
* The bar in red indicates where NorthWestern Energy Group's Interest Coverage falls into.
NorthWestern Energy Group 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.
NorthWestern Energy Group (NWE) has a Interest Coverage of 1.59 as of Jun. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on NorthWestern Energy Group and its competitors. This is 40% below median its historical median of 2.66. Over the past decade, NorthWestern Energy Group's Interest Coverage has ranged from 2.02 to 2.95. According to the industry distribution chart, NorthWestern Energy Group ranks #364 out of 447 companies in the Utilities - Regulated industry, placing it in the top 81.4%.
Is NorthWestern Energy Group's Interest Coverage too high?
NorthWestern Energy Group's current Interest Coverage of 1.59 is 40% below median its 10-year median of 2.66. Over the past 10 years, this metric has ranged from a low of 2.02 to a high of 2.95. The Utilities - Regulated industry median Interest Coverage is 3.98. NorthWestern Energy Group's value of 1.59 is 60.1% below this industry median. Based on the distribution chart, NorthWestern Energy Group ranks #364 out of 447 companies in the Utilities - Regulated industry, which is in the bottom quartile relative to peers. Overall, NorthWestern Energy Group has a GF Score™ of 76/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does NorthWestern Energy Group's Interest Coverage compare to MGEE and POR?
According to the Utilities - Regulated industry distribution chart, NorthWestern Energy Group ranks #364 out of 447 companies for Interest Coverage. This places NorthWestern Energy Group in the lower half of its industry. The industry median Interest Coverage is 3.98. NorthWestern Energy Group's value of 1.59 is 60.1% below this benchmark. Historically, NorthWestern Energy Group's own Interest Coverage has ranged from 2.02 to 2.95 over the past decade. While the company's 10-year median is 2.66 vs. the industry median of 3.98, NorthWestern Energy Group 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 Utilities - Regulated company?
The median Interest Coverage among Utilities - Regulated companies is 3.98, based on 447 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. NorthWestern Energy Group's current Interest Coverage of 1.59 is 60.1% 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 NorthWestern Energy Group and its competitors. For the Utilities - Regulated industry, the median Interest Coverage is 3.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NorthWestern Energy Group's current Interest Coverage is 1.59, which is 40% below median its own 10-year median of 2.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NorthWestern Energy Group stock overvalued right now?
Based on GuruFocus' analysis, NorthWestern Energy Group (NWE) is currently considered Modestly Overvalued. The stock's GF Value™ is $61.97, compared to a current price of $70.81 — trading 14.3% above its estimated fair value. The current Interest Coverage is 1.59, which is 40% below median its 10-year median of 2.66 and 60.1% below the Utilities - Regulated industry median of 3.98. NorthWestern Energy Group's overall GF Score™ is 76/100 with 12 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 NorthWestern Energy Group (NWE), the current Interest Coverage is 1.59 as of Jun. 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 NorthWestern Energy Group (NWE) Overvalued in 2026?
Based on GuruFocus' analysis, NorthWestern Energy Group stock appears to be overvalued.
The current stock price of $70.81 is trading 14.3% above its estimated GF Value™ of $61.97.
GuruFocus considers NorthWestern Energy Group to be Modestly Overvalued.
Key valuation signals for NWE:
Interest Coverage: 1.59 (40% below median its 10-year median of 2.66)
GF Value™: $61.97 vs. price of $70.81 (14.3% above fair value)
Industry Position: 60.1% below the Utilities - Regulated median (#364 of 447)
No single metric tells the full story. See the NWE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NorthWestern Energy Group Inc provides electricity and natural gas services in the Upper Midwest and Northwest of the U.S. in the states of Montana, South Dakota, Nebraska, and Yellowstone National Park. The company's primary segments include Electric, which includes the generation, purchase, transmission, and distribution of electricity, and Natural Gas, which includes the production, purchase, transmission, storage, and distribution of natural gas. It uses thermal, wind, hydro, or renewable energy in varying quantities, depending on the location of the facilities, to generate power. The company derives the majority of its revenue from the Electric segment.
76GF Score
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