Construction PartnersROAD -2.35%91 Interest Coverage is 1.38 as of Mar. 2026, which is 85% below its 10-year median of 9.14. GuruFocus rates ROAD with a GF Score™ of 91/100 and a GF Value™ of $120.83 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,354 Construction companies, Construction Partners ranks worse than 76.59% 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. Construction Partners's
Operating Income
for the
three
months ended in Mar. 2026 was $35 Mil. Construction Partners's Interest Expense for the
three
months ended in Mar. 2026 was $-26 Mil.
Construction Partners's interest coverage for the quarter that ended in Mar. 2026 was 1.38.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Construction Partners's Interest Coverage or its related term are showing as below:
ROAD'
s Interest Coverage Range Over the Past 10 Years
Min: 2.65 Med: 9.14 Max: 34.83
Current: 2.68
ROAD's Interest Coverage is ranked worse than 76.59% of 1354
companies
in the Construction industry
Industry Median: 7.865
vs ROAD: 2.68
Construction Partners (NAS:ROAD) 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 .
Construction Partners Interest Coverage Related Terms
Construction Partners Interest Coverage Historical Data
* Premium members only.
The historical data trend for Construction Partners'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.
ROAD vs LGN, FLR, PRIM: Interest Coverage Comparison
For the Engineering & Construction subindustry, Construction Partners'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.
Construction Partners Interest Coverage vs Construction Industry
For the Construction industry and Industrials sector, Construction Partners's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Construction Partners's Interest Coverage falls into.
Construction Partners 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.
Construction Partners (ROAD) has a Interest Coverage of 1.38 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Construction Partners and its competitors. This is 85% below median its historical median of 9.14. Over the past decade, Construction Partners' Interest Coverage has ranged from 2.65 to 34.83. According to the industry distribution chart, Construction Partners ranks #1037 out of 1354 companies in the Construction industry, placing it in the top 76.6%.
Is Construction Partners' Interest Coverage too high?
Construction Partners' current Interest Coverage of 1.38 is 85% below median its 10-year median of 9.14. Over the past 10 years, this metric has ranged from a low of 2.65 to a high of 34.83. The Construction industry median Interest Coverage is 7.87. Construction Partners' value of 1.38 is 82.5% below this industry median. Based on the distribution chart, Construction Partners ranks #1037 out of 1354 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Construction Partners has a GF Score™ of 91/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Construction Partners' Interest Coverage compare to LGN and FLR?
According to the Construction industry distribution chart, Construction Partners ranks #1037 out of 1354 companies for Interest Coverage. This places Construction Partners in the lower half of its industry. The industry median Interest Coverage is 7.87. Construction Partners' value of 1.38 is 82.5% below this benchmark. Historically, Construction Partners' own Interest Coverage has ranged from 2.65 to 34.83 over the past decade. While the company's 10-year median is 9.14 vs. the industry median of 7.87, Construction Partners 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 Construction company?
The median Interest Coverage among Construction companies is 7.87, based on 1,354 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. Construction Partners's current Interest Coverage of 1.38 is 82.5% 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 Construction Partners and its competitors. For the Construction industry, the median Interest Coverage is 7.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Construction Partners's current Interest Coverage is 1.38, which is 85% below median its own 10-year median of 9.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Construction Partners stock overvalued right now?
Based on GuruFocus' analysis, Construction Partners (ROAD) is currently considered Fairly Valued. The stock's GF Value™ is $120.83, compared to a current price of $122.53 — trading 1.4% above its estimated fair value. The current Interest Coverage is 1.38, which is 85% below median its 10-year median of 9.14 and 82.5% below the Construction industry median of 7.87. Construction Partners' overall GF Score™ is 91/100 with 4 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 Construction Partners (ROAD), the current Interest Coverage is 1.38 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 Construction Partners (ROAD) Overvalued in 2026?
Based on GuruFocus' analysis, Construction Partners stock appears to be overvalued.
The current stock price of $122.53 is trading 1.4% above its estimated GF Value™ of $120.83.
GuruFocus considers Construction Partners to be Fairly Valued.
Key valuation signals for ROAD:
Interest Coverage: 1.38 (85% below median its 10-year median of 9.14)
GF Value™: $120.83 vs. price of $122.53 (1.4% above fair value)
Industry Position: 82.5% below the Construction median (#1037 of 1354)
No single metric tells the full story. See the ROAD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Construction Partners Inc operates as a civil infrastructure company. It specializes in the construction and maintenance of roadways. The company through its subsidiaries, provides various products and services to both public and private infrastructure projects, with an emphasis on highways, roads, bridges, airports, and commercial and residential developments. Its operations consist of manufacturing and distributing hot mix asphalt, paving activities, including the construction of roadway base layers and application of asphalt pavement, site development, including the installation of utility and drainage systems, and others. The company has a single segment which predominantly consists of infrastructure and road construction, and operates across various states in the United States.
91GF Score
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