Assa Abloy ABOSTO:ASSA B +0.66%93 Interest Coverage is 7.68 as of Mar. 2026, which is 48% below its 10-year median of 14.63. GuruFocus rates OSTO:ASSA B with a GF Score™ of 93/100 and a GF Value™ of kr328.45 (Fairly Valued). The stock has 3 warning signs investors should review. Among 815 Business Services companies, Assa Abloy AB ranks worse than 59.88% 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. Assa Abloy AB's
Operating Income
for the
three
months ended in Mar. 2026 was kr5,459 Mil. Assa Abloy AB's Interest Expense for the
three
months ended in Mar. 2026 was kr-711 Mil.
Assa Abloy AB's interest coverage for the quarter that ended in Mar. 2026 was 7.68.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Assa Abloy AB's Interest Coverage or its related term are showing as below:
OSTO:ASSA B'
s Interest Coverage Range Over the Past 10 Years
Min: 7.06 Med: 14.63 Max: 22.67
Current: 7.76
OSTO:ASSA B's Interest Coverage is ranked worse than 59.88% of 815
companies
in the Business Services industry
Industry Median: 13.21
vs OSTO:ASSA B: 7.76
Assa Abloy AB (OSTO:ASSA B) 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 .
Assa Abloy AB Interest Coverage Related Terms
Assa Abloy AB Interest Coverage Historical Data
* Premium members only.
The historical data trend for Assa Abloy AB'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.
OSTO:ASSA B vs ALLE, MSA, ADT: Interest Coverage Comparison
For the Security & Protection Services subindustry, Assa Abloy AB'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.
Assa Abloy AB Interest Coverage vs Business Services Industry
For the Business Services industry and Industrials sector, Assa Abloy AB's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Assa Abloy AB'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.
Assa Abloy AB (OSTO:ASSA B) has a Interest Coverage of 7.68 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Assa Abloy AB and its competitors. This is 48% below median its historical median of 14.63. Over the past decade, Assa Abloy AB's Interest Coverage has ranged from 7.06 to 22.67. According to the industry distribution chart, Assa Abloy AB ranks #488 out of 815 companies in the Business Services industry, placing it in the top 59.9%.
Is Assa Abloy AB's Interest Coverage too high?
Assa Abloy AB's current Interest Coverage of 7.68 is 48% below median its 10-year median of 14.63. Over the past 10 years, this metric has ranged from a low of 7.06 to a high of 22.67. The Business Services industry median Interest Coverage is 13.21. Assa Abloy AB's value of 7.68 is 41.9% below this industry median. Based on the distribution chart, Assa Abloy AB ranks #488 out of 815 companies in the Business Services industry, which is below the industry midpoint. Overall, Assa Abloy AB has a GF Score™ of 93/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Assa Abloy AB's Interest Coverage compare to ALLE and MSA?
According to the Business Services industry distribution chart, Assa Abloy AB ranks #488 out of 815 companies for Interest Coverage. This places Assa Abloy AB in the lower half of its industry. The industry median Interest Coverage is 13.21. Assa Abloy AB's value of 7.68 is 41.9% below this benchmark. Historically, Assa Abloy AB's own Interest Coverage has ranged from 7.06 to 22.67 over the past decade. While the company's 10-year median is 14.63 vs. the industry median of 13.21, Assa Abloy AB 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 Business Services company?
The median Interest Coverage among Business Services companies is 13.21, based on 815 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. Assa Abloy AB's current Interest Coverage of 7.68 is 41.9% 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 Assa Abloy AB and its competitors. For the Business Services industry, the median Interest Coverage is 13.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Assa Abloy AB's current Interest Coverage is 7.68, which is 48% below median its own 10-year median of 14.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Assa Abloy AB stock overvalued right now?
Based on GuruFocus' analysis, Assa Abloy AB (OSTO:ASSA B) is currently considered Fairly Valued. The stock's GF Value™ is kr328.45, compared to a current price of kr335.30 — trading 2.1% above its estimated fair value. The current Interest Coverage is 7.68, which is 48% below median its 10-year median of 14.63 and 41.9% below the Business Services industry median of 13.21. Assa Abloy AB's overall GF Score™ is 93/100 with 3 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 Assa Abloy AB (OSTO:ASSA B), the current Interest Coverage is 7.68 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 Assa Abloy AB (OSTO:ASSA B) Overvalued in 2026?
Based on GuruFocus' analysis, Assa Abloy AB stock appears to be overvalued.
The current stock price of kr335.30 is trading 2.1% above its estimated GF Value™ of kr328.45.
GuruFocus considers Assa Abloy AB to be Fairly Valued.
Key valuation signals for OSTO:ASSA B:
Interest Coverage: 7.68 (48% below median its 10-year median of 14.63)
GF Value™: kr328.45 vs. price of kr335.30 (2.1% above fair value)
Industry Position: 41.9% below the Business Services median (#488 of 815)
No single metric tells the full story. See the OSTO:ASSA B stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Assa Abloy is the world's largest supplier of locking and physical access solutions, sporting the world's largest installed base of locks that protect some of the most security-sensitive buildings, such as the European Parliament in Brussels. Some 70% of the group's revenue is derived from commercial, government, and other nonresidential customers. The company's product base is centered on electromechanical locks, which require identification to unlock with a keycard, biometric scan, or personal identification number. Assa Abloy's products are sold directly to security systems integrators, locksmiths, hardware stores, and original equipment manufacturers.
93GF Score
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