Qassim Cement Co (SAU:3040) Interest Coverage: 65.48 (As of Mar. 2026) — 79% Below Median

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SAU:3040 Qassim Cement Co SAU:3040
88 GF Score
Price ﷼45.58
GF Value ﷼67.27
Valuation Significantly Undervalued
! 4 Warning Signs
View Full Analysis

What is Qassim Cement Co Interest Coverage?

Qassim Cement Co SAU:3040 +1.15% 88 Interest Coverage is 65.48 as of Mar. 2026, which is 79% below its 10-year median of 315.07. GuruFocus rates SAU:3040 with a GF Score™ of 88/100 and a GF Value™ of ﷼67.27 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 308 Building Materials companies, Qassim Cement Co ranks better than 84.74% 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. Qassim Cement Co's Operating Income for the three months ended in Mar. 2026 was ﷼72 Mil. Qassim Cement Co's Interest Expense for the three months ended in Mar. 2026 was ﷼-1 Mil. Qassim Cement Co's interest coverage for the quarter that ended in Mar. 2026 was 65.48. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Qassim Cement Co has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for Qassim Cement Co's Interest Coverage or its related term are showing as below:

SAU:3040' s Interest Coverage Range Over the Past 10 Years
Min: 58.43   Med: 315.07   Max: No Debt
Current: 58.43


SAU:3040's Interest Coverage is ranked better than
84.74% of 308 companies
in the Building Materials industry
Industry Median: 6.58 vs SAU:3040: 58.43

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Qassim Cement Co  (SAU:3040) 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 .


Qassim Cement Co Interest Coverage Related Terms


Qassim Cement Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Qassim Cement 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.

Qassim Cement Co Interest Coverage Chart

Qassim Cement Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 257.58 156.40 124.77 74.49 59.93

Qassim Cement Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 69.89 65.99 27.52 91.07 65.48

SAU:3040 vs CRH, VMC, MLM: Interest Coverage Comparison

For the Building Materials subindustry, Qassim Cement 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.


Qassim Cement Co Interest Coverage vs Building Materials Industry

For the Building Materials industry and Basic Materials sector, Qassim Cement Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Qassim Cement Co's Interest Coverage falls into.


SAU:3040
88GF Score
Qassim Cement Co SAU:3040
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Qassim Cement Co 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:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Qassim Cement Co's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Qassim Cement Co's Interest Expense was ﷼-4 Mil. Its Operating Income was ﷼266 Mil. And its Long-Term Debt & Capital Lease Obligation was ﷼2 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*266.165/-4.441
=59.93

Qassim Cement Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Qassim Cement Co's Interest Expense was ﷼-1 Mil. Its Operating Income was ﷼72 Mil. And its Long-Term Debt & Capital Lease Obligation was ﷼103 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*72.42/-1.106
=65.48

* 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.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 65.48 mean?
Qassim Cement Co (SAU:3040) has a Interest Coverage of 65.48 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Qassim Cement Co and its competitors. This is 79% below median its historical median of 315.07. Over the past decade, Qassim Cement Co's Interest Coverage has ranged from 58.43 to 10,000.00. According to the industry distribution chart, Qassim Cement Co ranks #47 out of 308 companies in the Building Materials industry, placing it in the top 15.3%.
Is Qassim Cement Co's Interest Coverage too high?
Qassim Cement Co's current Interest Coverage of 65.48 is 79% below median its 10-year median of 315.07. Over the past 10 years, this metric has ranged from a low of 58.43 to a high of 10,000.00. The Building Materials industry median Interest Coverage is 6.58. Qassim Cement Co's value of 65.48 is 895.1% above this industry median. Based on the distribution chart, Qassim Cement Co ranks #47 out of 308 companies in the Building Materials industry, which is in the top quartile — a strong position relative to peers. Overall, Qassim Cement Co has a GF Score™ of 88/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Qassim Cement Co's Interest Coverage compare to CRH and VMC?
According to the Building Materials industry distribution chart, Qassim Cement Co ranks #47 out of 308 companies for Interest Coverage. This places Qassim Cement Co in the top 15% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 6.58. Qassim Cement Co's value of 65.48 is 895.1% above this benchmark. Historically, Qassim Cement Co's own Interest Coverage has ranged from 58.43 to 10,000.00 over the past decade. While the company's 10-year median is 315.07 vs. the industry median of 6.58, Qassim Cement 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 Building Materials company?
The median Interest Coverage among Building Materials companies is 6.58, based on 308 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. Qassim Cement Co's current Interest Coverage of 65.48 is 895.1% 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 Qassim Cement Co and its competitors. For the Building Materials industry, the median Interest Coverage is 6.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Qassim Cement Co's current Interest Coverage is 65.48, which is 79% below median its own 10-year median of 315.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Qassim Cement Co stock overvalued right now?
Based on GuruFocus' analysis, Qassim Cement Co (SAU:3040) is currently considered Significantly Undervalued. The stock's GF Value™ is ﷼67.27, compared to a current price of ﷼45.58 — trading 32.2% below its estimated fair value. The current Interest Coverage is 65.48, which is 79% below median its 10-year median of 315.07 and 895.1% above the Building Materials industry median of 6.58. Qassim Cement Co's overall GF Score™ is 88/100 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 Qassim Cement Co (SAU:3040), the current Interest Coverage is 65.48 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 Qassim Cement Co (SAU:3040) Overvalued in 2026?

Based on GuruFocus' analysis, Qassim Cement Co stock appears to be undervalued. The current stock price of ﷼45.58 is trading 32.2% below its estimated GF Value™ of ﷼67.27. GuruFocus considers Qassim Cement Co to be Significantly Undervalued.

Key valuation signals for SAU:3040:

  • Interest Coverage: 65.48 (79% below median its 10-year median of 315.07)
  • GF Value™: ﷼67.27 vs. price of ﷼45.58 (32.2% below fair value)
  • GF Score™: 88/100 with 4 warning signs
  • Industry Position: 895.1% above the Building Materials median (#47 of 308)

No single metric tells the full story. See the SAU:3040 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Qassim Cement Co Business Description

Address Tarafiyyah Road, Unit No. 1, P.O. Box 4266, Building No. 4266, Buraydah, SAU, 52271-6735
Qassim Cement Co is engaged in manufacturing and producing cement, its derivatives and supplements, the trade of these products, and carrying out all works directly and indirectly related to this purpose. It makes Ordinary Portland Cement, Portland Pozzolana Cement, Sulphate Resistant Cement, and Finishing Cement, among others. Geographically, the company mainly operates in the Kingdom of Saudi Arabia.
88GF Score

Get the complete analysis for SAU:3040

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

﷼45.58
Price
﷼67.27
GF Value