Palomar HoldingsPLMR +3.48%81 Interest Coverage is 17.93 as of Mar. 2026, which is 23% below its 10-year median of 23.19. GuruFocus rates PLMR with a GF Score™ of 81/100 and a GF Value™ of $149.85 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 353 Insurance companies, Palomar Holdings ranks better than 76.77% 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
EBIT
by its Interest Expense. Palomar Holdings's
EBIT
for the
three
months ended in Mar. 2026 was $56.6 Mil. Palomar Holdings's Interest Expense for the
three
months ended in Mar. 2026 was $-3.2 Mil.
Palomar Holdings's interest coverage for the quarter that ended in Mar. 2026 was 17.93.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Palomar Holdings's Interest Coverage or its related term are showing as below:
PLMR'
s Interest Coverage Range Over the Past 10 Years
Min: 0.69 Med: 23.19 Max: 1429.45
Current: 74.06
PLMR's Interest Coverage is ranked better than 76.77% of 353
companies
in the Insurance industry
Industry Median: 16.26
vs PLMR: 74.06
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 .
Palomar Holdings Interest Coverage Related Terms
Palomar Holdings Interest Coverage Historical Data
* Premium members only.
The historical data trend for Palomar Holdings'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.
PLMR vs SLDE, STC, HCI: Interest Coverage Comparison
For the Insurance - Property & Casualty subindustry, Palomar Holdings'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.
Palomar Holdings Interest Coverage vs Insurance Industry
For the Insurance industry and Financial Services sector, Palomar Holdings's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Palomar Holdings'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.
Palomar Holdings (PLMR) has a Interest Coverage of 17.93 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Palomar Holdings and its competitors. This is 23% below median its historical median of 23.19. Over the past decade, Palomar Holdings' Interest Coverage has ranged from 0.69 to 1,429.45. According to the industry distribution chart, Palomar Holdings ranks #82 out of 353 companies in the Insurance industry, placing it in the top 23.2%.
Is Palomar Holdings' Interest Coverage too high?
Palomar Holdings' current Interest Coverage of 17.93 is 23% below median its 10-year median of 23.19. Over the past 10 years, this metric has ranged from a low of 0.69 to a high of 1,429.45. The Insurance industry median Interest Coverage is 16.26. Palomar Holdings' value of 17.93 is 10.3% above this industry median. Based on the distribution chart, Palomar Holdings ranks #82 out of 353 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, Palomar Holdings has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Palomar Holdings' Interest Coverage compare to SLDE and STC?
According to the Insurance industry distribution chart, Palomar Holdings ranks #82 out of 353 companies for Interest Coverage. This places Palomar Holdings in the top 23% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 16.26. Palomar Holdings' value of 17.93 is 10.3% above this benchmark. Historically, Palomar Holdings' own Interest Coverage has ranged from 0.69 to 1,429.45 over the past decade. While the company's 10-year median is 23.19 vs. the industry median of 16.26, Palomar Holdings 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 an Insurance company?
The median Interest Coverage among Insurance companies is 16.26, based on 353 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. Palomar Holdings's current Interest Coverage of 17.93 is 10.3% 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 Palomar Holdings and its competitors. For the Insurance industry, the median Interest Coverage is 16.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Palomar Holdings's current Interest Coverage is 17.93, which is 23% below median its own 10-year median of 23.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Palomar Holdings stock overvalued right now?
Based on GuruFocus' analysis, Palomar Holdings (PLMR) is currently considered Modestly Undervalued. The stock's GF Value™ is $149.85, compared to a current price of $120.13 — trading 19.8% below its estimated fair value. The current Interest Coverage is 17.93, which is 23% below median its 10-year median of 23.19 and 10.3% above the Insurance industry median of 16.26. Palomar Holdings' overall GF Score™ is 81/100 with 2 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 Palomar Holdings (PLMR), the current Interest Coverage is 17.93 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 Palomar Holdings (PLMR) Overvalued in 2026?
Based on GuruFocus' analysis, Palomar Holdings stock appears to be undervalued.
The current stock price of $120.13 is trading 19.8% below its estimated GF Value™ of $149.85.
GuruFocus considers Palomar Holdings to be Modestly Undervalued.
Key valuation signals for PLMR:
Interest Coverage: 17.93 (23% below median its 10-year median of 23.19)
GF Value™: $149.85 vs. price of $120.13 (19.8% below fair value)
Industry Position: 10.3% above the Insurance median (#82 of 353)
No single metric tells the full story. See the PLMR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Palomar Holdings Inc that provides property and casualty insurance products to individuals and businesses. It provides insurance products serving five categories: Earthquake, Inland Marine and Other Property, Casualty, Fronting, and Crop. Company distribute products through multiple channels, including retail agents, program administrators, wholesale brokers, and partnerships with other insurance companies. The company's Earthquake product generate high premium.
81GF Score
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