Theeb Car Rental Co (SAU:4261) Interest Coverage: 2.26 (As of Mar. 2026) — 30% Below Median


SAU:4261 Theeb Car Rental Co SAU:4261
67 GF Score
Price ﷼23.06
GF Value ﷼60.44
Valuation Possible Value Trap
! 6 Warning Signs
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What is Theeb Car Rental Co Interest Coverage?

Theeb Car Rental Co SAU:4261 -2.21% 67 Interest Coverage is 2.26 as of Mar. 2026, which is 30% below its 10-year median of 3.22. GuruFocus rates SAU:4261 with a GF Score™ of 67/100 and a GF Value™ of ﷼60.44 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 815 Business Services companies, Theeb Car Rental Co ranks worse than 82.33% 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. Theeb Car Rental Co's Operating Income for the three months ended in Mar. 2026 was ﷼64 Mil. Theeb Car Rental Co's Interest Expense for the three months ended in Mar. 2026 was ﷼-28 Mil. Theeb Car Rental Co's interest coverage for the quarter that ended in Mar. 2026 was 2.26. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Theeb Car Rental Co interest coverage is 2.38, which is low.

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

SAU:4261' s Interest Coverage Range Over the Past 10 Years
Min: 2.38   Med: 3.22   Max: 6.97
Current: 2.38


SAU:4261's Interest Coverage is ranked worse than
82.33% of 815 companies
in the Business Services industry
Industry Median: 13.21 vs SAU:4261: 2.38

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


Theeb Car Rental Co  (SAU:4261) 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 .


Theeb Car Rental Co Interest Coverage Related Terms


Theeb Car Rental Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Theeb Car Rental 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.

Theeb Car Rental Co Interest Coverage Chart

Theeb Car Rental Co Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial 5.94 6.97 3.36 3.07 2.56

Theeb Car Rental 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 3.03 2.80 2.83 1.75 2.26

SAU:4261 vs URI, SUNB, AER: Interest Coverage Comparison

For the Rental & Leasing Services subindustry, Theeb Car Rental 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.


Theeb Car Rental Co Interest Coverage vs Business Services Industry

For the Business Services industry and Industrials sector, Theeb Car Rental Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Theeb Car Rental Co's Interest Coverage falls into.


SAU:4261
67GF Score
Theeb Car Rental Co SAU:4261
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Theeb Car Rental 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.

Theeb Car Rental 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, Theeb Car Rental Co's Interest Expense was ﷼-109 Mil. Its Operating Income was ﷼281 Mil. And its Long-Term Debt & Capital Lease Obligation was ﷼1,032 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*280.567/-109.441
=2.56

Theeb Car Rental Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Theeb Car Rental Co's Interest Expense was ﷼-28 Mil. Its Operating Income was ﷼64 Mil. And its Long-Term Debt & Capital Lease Obligation was ﷼1,072 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*64.144/-28.347
=2.26

* 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 2.26 mean?
Theeb Car Rental Co (SAU:4261) has a Interest Coverage of 2.26 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Theeb Car Rental Co and its competitors. This is 30% below median its historical median of 3.22. Over the past decade, Theeb Car Rental Co's Interest Coverage has ranged from 2.38 to 6.97. According to the industry distribution chart, Theeb Car Rental Co ranks #671 out of 815 companies in the Business Services industry, placing it in the top 82.3%.
Is Theeb Car Rental Co's Interest Coverage too high?
Theeb Car Rental Co's current Interest Coverage of 2.26 is 30% below median its 10-year median of 3.22. Over the past 10 years, this metric has ranged from a low of 2.38 to a high of 6.97. The Business Services industry median Interest Coverage is 13.21. Theeb Car Rental Co's value of 2.26 is 82.9% below this industry median. Based on the distribution chart, Theeb Car Rental Co ranks #671 out of 815 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, Theeb Car Rental Co has a GF Score™ of 67/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Theeb Car Rental Co's Interest Coverage compare to URI and SUNB?
According to the Business Services industry distribution chart, Theeb Car Rental Co ranks #671 out of 815 companies for Interest Coverage. This places Theeb Car Rental Co in the lower half of its industry. The industry median Interest Coverage is 13.21. Theeb Car Rental Co's value of 2.26 is 82.9% below this benchmark. Historically, Theeb Car Rental Co's own Interest Coverage has ranged from 2.38 to 6.97 over the past decade. While the company's 10-year median is 3.22 vs. the industry median of 13.21, Theeb Car Rental Co 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. Theeb Car Rental Co's current Interest Coverage of 2.26 is 82.9% 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 Theeb Car Rental Co 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. Theeb Car Rental Co's current Interest Coverage is 2.26, which is 30% below median its own 10-year median of 3.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Theeb Car Rental Co stock overvalued right now?
Based on GuruFocus' analysis, Theeb Car Rental Co (SAU:4261) is currently considered Possible Value Trap. The stock's GF Value™ is ﷼60.44, compared to a current price of ﷼23.06 — trading 61.8% below its estimated fair value. The current Interest Coverage is 2.26, which is 30% below median its 10-year median of 3.22 and 82.9% below the Business Services industry median of 13.21. Theeb Car Rental Co's overall GF Score™ is 67/100 with 6 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 Theeb Car Rental Co (SAU:4261), the current Interest Coverage is 2.26 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 Theeb Car Rental Co (SAU:4261) Overvalued in 2026?

Based on GuruFocus' analysis, Theeb Car Rental Co stock appears to be undervalued. The current stock price of ﷼23.06 is trading 61.8% below its estimated GF Value™ of ﷼60.44. GuruFocus considers Theeb Car Rental Co to be Possible Value Trap.

Key valuation signals for SAU:4261:

  • Interest Coverage: 2.26 (30% below median its 10-year median of 3.22)
  • GF Value™: ﷼60.44 vs. price of ﷼23.06 (61.8% below fair value)
  • GF Score™: 67/100 with 6 warning signs
  • Industry Position: 82.9% below the Business Services median (#671 of 815)

No single metric tells the full story. See the SAU:4261 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Theeb Car Rental Co Business Description

Address 6709 Eastern Ring Branch Road, Between Exit 12 and 13, P.O. Box 9551, Al Rawda District, Riyadh, SAU, 2394-13211
Theeb Car Rental Co is engaged in car rental and leasing. The company operates in three segments, namely: Short-term lease, Long-term lease, and Car sales. The short-term lease segment represents activities involving the leasing of cars to customers under short-term rental arrangements (daily and monthly). The long-term lease segment represents activities involving the leasing of cars to customers under medium to longer-term operating lease arrangements. Car sales represent the sales of vehicles that were previously held as part of the lease or rental fleet. The company derives the key revenue from the long-term lease segment.
67GF Score

Get the complete analysis for SAU:4261

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

﷼23.06
Price
﷼60.44
GF Value