Arabian Pipes CoSAU:2200 +1.68%75 Interest Coverage is 8.26 as of Mar. 2026, which is 307% above its 10-year median of 2.03. GuruFocus rates SAU:2200 with a GF Score™ of 75/100 and a GF Value™ of ﷼5.32 (Modestly Overvalued). The stock has 1 warning sign investors should review. Among 456 Steel companies, Arabian Pipes Co ranks better than 52.85% 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. Arabian Pipes Co's
Operating Income
for the
three
months ended in Mar. 2026 was ﷼25.3 Mil. Arabian Pipes Co's Interest Expense for the
three
months ended in Mar. 2026 was ﷼-3.1 Mil.
Arabian Pipes Co's interest coverage for the quarter that ended in Mar. 2026 was 8.26.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Arabian Pipes Co's Interest Coverage or its related term are showing as below:
SAU:2200'
s Interest Coverage Range Over the Past 10 Years
Min: 0.46 Med: 2.03 Max: 5.04
Current: 5.01
SAU:2200's Interest Coverage is ranked better than 52.85% of 456
companies
in the Steel industry
Industry Median: 4.445
vs SAU:2200: 5.01
Arabian Pipes Co (SAU:2200) 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 .
Arabian Pipes Co Interest Coverage Related Terms
Arabian Pipes Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for Arabian Pipes Co'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.
SAU:2200 vs NUE, STLD, RS: Interest Coverage Comparison
For the Steel subindustry, Arabian Pipes Co'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.
Arabian Pipes Co Interest Coverage vs Steel Industry
For the Steel industry and Basic Materials sector, Arabian Pipes Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Arabian Pipes Co'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.
Arabian Pipes Co (SAU:2200) has a Interest Coverage of 8.26 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Arabian Pipes Co and its competitors. This is 307% above median its historical median of 2.03. Over the past decade, Arabian Pipes Co's Interest Coverage has ranged from 0.46 to 5.04. According to the industry distribution chart, Arabian Pipes Co ranks #215 out of 456 companies in the Steel industry, placing it in the top 47.1%.
Is Arabian Pipes Co's Interest Coverage too high?
Arabian Pipes Co's current Interest Coverage of 8.26 is 307% above median its 10-year median of 2.03. Over the past 10 years, this metric has ranged from a low of 0.46 to a high of 5.04. The Steel industry median Interest Coverage is 4.45. Arabian Pipes Co's value of 8.26 is 85.8% above this industry median. Based on the distribution chart, Arabian Pipes Co ranks #215 out of 456 companies in the Steel industry, which is above the industry midpoint. Overall, Arabian Pipes Co has a GF Score™ of 75/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Arabian Pipes Co's Interest Coverage compare to NUE and STLD?
According to the Steel industry distribution chart, Arabian Pipes Co ranks #215 out of 456 companies for Interest Coverage. This puts Arabian Pipes Co in the upper half of its industry. The industry median Interest Coverage is 4.45. Arabian Pipes Co's value of 8.26 is 85.8% above this benchmark. Historically, Arabian Pipes Co's own Interest Coverage has ranged from 0.46 to 5.04 over the past decade. While the company's 10-year median is 2.03 vs. the industry median of 4.45, Arabian Pipes Co 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 Steel company?
The median Interest Coverage among Steel companies is 4.45, based on 456 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. Arabian Pipes Co's current Interest Coverage of 8.26 is 85.8% 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 Arabian Pipes Co and its competitors. For the Steel industry, the median Interest Coverage is 4.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arabian Pipes Co's current Interest Coverage is 8.26, which is 307% above median its own 10-year median of 2.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arabian Pipes Co stock overvalued right now?
Based on GuruFocus' analysis, Arabian Pipes Co (SAU:2200) is currently considered Modestly Overvalued. The stock's GF Value™ is ﷼5.32, compared to a current price of ﷼6.76 — trading 27.1% above its estimated fair value. The current Interest Coverage is 8.26, which is 307% above median its 10-year median of 2.03 and 85.8% above the Steel industry median of 4.45. Arabian Pipes Co's overall GF Score™ is 75/100 with 1 warning sign 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 Arabian Pipes Co (SAU:2200), the current Interest Coverage is 8.26 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 Arabian Pipes Co (SAU:2200) Overvalued in 2026?
Based on GuruFocus' analysis, Arabian Pipes Co stock appears to be overvalued.
The current stock price of ﷼6.76 is trading 27.1% above its estimated GF Value™ of ﷼5.32.
GuruFocus considers Arabian Pipes Co to be Modestly Overvalued.
Key valuation signals for SAU:2200:
Interest Coverage: 8.26 (307% above median its 10-year median of 2.03)
GF Value™: ﷼5.32 vs. price of ﷼6.76 (27.1% above fair value)
Industry Position: 85.8% above the Steel median (#215 of 456)
No single metric tells the full story. See the SAU:2200 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arabian Pipes Co is engaged in the production and marketing of longitudinally welded steel pipes for pipelines and for construction and commercial purposes. Its other activities include bending, shaping, and threading pipes from the outside and inside, carrying out commercial business such as selling and buying pipes and their accessories, carrying out pipeline extension works, manufacturing pipes, hoses, plastic pipes, their connections and accessories, and manufacturing hollow iron and steel. The company generates the majority of revenue from Saudi Arabia.
75GF Score
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