SMTGY (SMA Solar Technology AG) Interest Coverage: 5.31 (As of Mar. 2026) — 69% Below Median


SMTGY SMA Solar Technology AG SMTGY
66 GF Score
Price $5.91
GF Value $3.53
Valuation Significantly Overvalued
! 3 Warning Signs
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What is SMA Solar Technology AG Interest Coverage?

SMA Solar Technology AG SMTGY 66 Interest Coverage is 5.31 as of Mar. 2026, which is 69% below its 10-year median of 16.95. GuruFocus rates SMTGY with a GF Score™ of 66/100 and a GF Value™ of $3.53 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 636 Semiconductors companies, SMA Solar Technology AG ranks worse than 157232.55% 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. SMA Solar Technology AG's Operating Income for the three months ended in Mar. 2026 was $15 Mil. SMA Solar Technology AG's Interest Expense for the three months ended in Mar. 2026 was $-3 Mil. SMA Solar Technology AG's interest coverage for the quarter that ended in Mar. 2026 was 5.31. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for SMA Solar Technology AG's Interest Coverage or its related term are showing as below:


SMTGY's Interest Coverage is not ranked *
in the Semiconductors industry.
Industry Median: 20.225
* Ranked among companies with meaningful Interest Coverage only.

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


SMA Solar Technology AG  (OTCPK:SMTGY) 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 .


SMA Solar Technology AG Interest Coverage Related Terms


SMA Solar Technology AG Interest Coverage Historical Data

* Premium members only.

The historical data trend for SMA Solar Technology AG'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.

SMA Solar Technology AG Interest Coverage Chart

SMA Solar Technology AG 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 0.00 11.45 56.63 0.00 0.00

SMA Solar Technology AG 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 2.85 0.00 0.00 0.00 5.31

SMTGY vs FSLR, NXT, ENPH: Interest Coverage Comparison

For the Solar subindustry, SMA Solar Technology AG'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.


SMA Solar Technology AG Interest Coverage vs Semiconductors Industry

For the Semiconductors industry and Technology sector, SMA Solar Technology AG's Interest Coverage distribution charts can be found below:

* The bar in red indicates where SMA Solar Technology AG's Interest Coverage falls into.


SMTGY
66GF Score
SMA Solar Technology AG SMTGY
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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SMA Solar Technology AG 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.

SMA Solar Technology AG'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, SMA Solar Technology AG's Interest Expense was $-16 Mil. Its Operating Income was $-168 Mil. And its Long-Term Debt & Capital Lease Obligation was $0 Mil.

SMA Solar Technology AG did not have earnings to cover the interest expense.

SMA Solar Technology AG's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, SMA Solar Technology AG's Interest Expense was $-3 Mil. Its Operating Income was $15 Mil. And its Long-Term Debt & Capital Lease Obligation was $0 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*15.418/-2.902
=5.31

* 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 5.31 mean?
SMA Solar Technology AG (SMTGY) has a Interest Coverage of 5.31 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on SMA Solar Technology AG and its competitors. This is 69% below median its historical median of 16.95. According to the industry distribution chart, SMA Solar Technology AG ranks #999999 out of 636 companies in the Semiconductors industry.
Is SMA Solar Technology AG's Interest Coverage too high?
SMA Solar Technology AG's current Interest Coverage of 5.31 is 69% below median its 10-year median of 16.95. The Semiconductors industry median Interest Coverage is 20.23. SMA Solar Technology AG's value of 5.31 is 73.7% below this industry median. Based on the distribution chart, SMA Solar Technology AG ranks #999999 out of 636 companies in the Semiconductors industry, which is in the bottom quartile relative to peers. Overall, SMA Solar Technology AG has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does SMA Solar Technology AG's Interest Coverage compare to FSLR and NXT?
According to the Semiconductors industry distribution chart, SMA Solar Technology AG ranks #999999 out of 636 companies for Interest Coverage. This places SMA Solar Technology AG in the lower half of its industry. The industry median Interest Coverage is 20.23. SMA Solar Technology AG's value of 5.31 is 73.7% below this benchmark. While the company's 10-year median is 16.95 vs. the industry median of 20.23, SMA Solar Technology AG 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 Semiconductors company?
The median Interest Coverage among Semiconductors companies is 20.23, based on 636 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. SMA Solar Technology AG's current Interest Coverage of 5.31 is 73.7% 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 SMA Solar Technology AG and its competitors. For the Semiconductors industry, the median Interest Coverage is 20.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SMA Solar Technology AG's current Interest Coverage is 5.31, which is 69% below median its own 10-year median of 16.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SMA Solar Technology AG stock overvalued right now?
Based on GuruFocus' analysis, SMA Solar Technology AG (SMTGY) is currently considered Significantly Overvalued. The stock's GF Value™ is $3.53, compared to a current price of $5.91 — trading 67.5% above its estimated fair value. The current Interest Coverage is 5.31, which is 69% below median its 10-year median of 16.95 and 73.7% below the Semiconductors industry median of 20.23. SMA Solar Technology AG's overall GF Score™ is 66/100 with 3 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 SMA Solar Technology AG (SMTGY), the current Interest Coverage is 5.31 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 SMA Solar Technology AG (SMTGY) Overvalued in 2026?

Based on GuruFocus' analysis, SMA Solar Technology AG stock appears to be overvalued. The current stock price of $5.91 is trading 67.5% above its estimated GF Value™ of $3.53. GuruFocus considers SMA Solar Technology AG to be Significantly Overvalued.

Key valuation signals for SMTGY:

  • Interest Coverage: 5.31 (69% below median its 10-year median of 16.95)
  • GF Value™: $3.53 vs. price of $5.91 (67.5% above fair value)
  • GF Score™: 66/100 with 3 warning signs
  • Industry Position: 73.7% below the Semiconductors median (#999999 of 636)

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


SMA Solar Technology AG Business Description

Address Sonnenallee 1, Niestetal, DEU, 34266
SMA Solar Technology AG produces, develops, and sells systems and solutions for the efficient and sustainable generation, storage, and use of solar energy. Its products include PV and battery inverters, monitoring systems for PV systems, charging solutions for electric vehicles, as well as energy management systems, and digital services for the future energy supply. The company operates through the following segments: Home & Business Solutions and Large Scale & Project Solutions. The Large Scale & Project Solutions segment, which derives key revenue for the company, offers products, systems, and solutions around the globe for solar, storage, and hydrogen projects on a power plant scale, as well as for the transition of power grids toward a higher share of renewable energy.
66GF Score

Get the complete analysis for SMTGY

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

$5.91
Price
$3.53
GF Value