SQM (Sociedad Quimica Y Minera De Chile) Interest Coverage: 13.59 (As of Mar. 2026) — 38% Above Median


SQM Sociedad Quimica Y Minera De Chile SA SQM
88 GF Score
Price $71.59
GF Value $44.95
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Sociedad Quimica Y Minera De Chile Interest Coverage?

Sociedad Quimica Y Minera De Chile SQM -2.08% 88 Interest Coverage is 13.59 as of Mar. 2026, which is 38% above its 10-year median of 9.86. GuruFocus rates SQM with a GF Score™ of 88/100 and a GF Value™ of $44.95 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 1,237 Chemicals companies, Sociedad Quimica Y Minera De Chile ranks worse than 54.24% 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. Sociedad Quimica Y Minera De Chile's Operating Income for the three months ended in Mar. 2026 was $730 Mil. Sociedad Quimica Y Minera De Chile's Interest Expense for the three months ended in Mar. 2026 was $-54 Mil. Sociedad Quimica Y Minera De Chile's interest coverage for the quarter that ended in Mar. 2026 was 13.59. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Sociedad Quimica Y Minera De Chile's Interest Coverage or its related term are showing as below:

SQM' s Interest Coverage Range Over the Past 10 Years
Min: 3.48   Med: 9.86   Max: 61.84
Current: 8.27


SQM's Interest Coverage is ranked worse than
54.24% of 1237 companies
in the Chemicals industry
Industry Median: 10.21 vs SQM: 8.27

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


Sociedad Quimica Y Minera De Chile  (NYSE:SQM) 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 .


Sociedad Quimica Y Minera De Chile Interest Coverage Related Terms


Sociedad Quimica Y Minera De Chile Interest Coverage Historical Data

* Premium members only.

The historical data trend for Sociedad Quimica Y Minera De Chile'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.

Sociedad Quimica Y Minera De Chile Interest Coverage Chart

Sociedad Quimica Y Minera De Chile 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 11.24 61.84 22.98 5.63 5.96

Sociedad Quimica Y Minera De Chile 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 4.85 4.01 6.95 7.48 13.59

SQM vs LIN, SHW, ECL: Interest Coverage Comparison

For the Specialty Chemicals subindustry, Sociedad Quimica Y Minera De Chile'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.


Sociedad Quimica Y Minera De Chile Interest Coverage vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Sociedad Quimica Y Minera De Chile's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Sociedad Quimica Y Minera De Chile's Interest Coverage falls into.


SQM
88GF Score
Sociedad Quimica Y Minera De Chile SA SQM
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Sociedad Quimica Y Minera De Chile 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.

Sociedad Quimica Y Minera De Chile'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, Sociedad Quimica Y Minera De Chile's Interest Expense was $-180 Mil. Its Operating Income was $1,070 Mil. And its Long-Term Debt & Capital Lease Obligation was $0 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*1069.559/-179.524
=5.96

Sociedad Quimica Y Minera De Chile's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Sociedad Quimica Y Minera De Chile's Interest Expense was $-54 Mil. Its Operating Income was $730 Mil. And its Long-Term Debt & Capital Lease Obligation was $4,788 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*729.7/-53.7
=13.59

* 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 13.59 mean?
Sociedad Quimica Y Minera De Chile (SQM) has a Interest Coverage of 13.59 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sociedad Quimica Y Minera De Chile and its competitors. This is 38% above median its historical median of 9.86. Over the past decade, Sociedad Quimica Y Minera De Chile's Interest Coverage has ranged from 3.48 to 61.84. According to the industry distribution chart, Sociedad Quimica Y Minera De Chile ranks #671 out of 1237 companies in the Chemicals industry, placing it in the top 54.2%.
Is Sociedad Quimica Y Minera De Chile's Interest Coverage too high?
Sociedad Quimica Y Minera De Chile's current Interest Coverage of 13.59 is 38% above median its 10-year median of 9.86. Over the past 10 years, this metric has ranged from a low of 3.48 to a high of 61.84. The Chemicals industry median Interest Coverage is 10.21. Sociedad Quimica Y Minera De Chile's value of 13.59 is 33.1% above this industry median. Based on the distribution chart, Sociedad Quimica Y Minera De Chile ranks #671 out of 1237 companies in the Chemicals industry, which is below the industry midpoint. Overall, Sociedad Quimica Y Minera De Chile has a GF Score™ of 88/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sociedad Quimica Y Minera De Chile's Interest Coverage compare to LIN and SHW?
According to the Chemicals industry distribution chart, Sociedad Quimica Y Minera De Chile ranks #671 out of 1237 companies for Interest Coverage. This places Sociedad Quimica Y Minera De Chile in the lower half of its industry. The industry median Interest Coverage is 10.21. Sociedad Quimica Y Minera De Chile's value of 13.59 is 33.1% above this benchmark. Historically, Sociedad Quimica Y Minera De Chile's own Interest Coverage has ranged from 3.48 to 61.84 over the past decade. While the company's 10-year median is 9.86 vs. the industry median of 10.21, Sociedad Quimica Y Minera De Chile 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 Chemicals company?
The median Interest Coverage among Chemicals companies is 10.21, based on 1,237 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. Sociedad Quimica Y Minera De Chile's current Interest Coverage of 13.59 is 33.1% 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 Sociedad Quimica Y Minera De Chile and its competitors. For the Chemicals industry, the median Interest Coverage is 10.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sociedad Quimica Y Minera De Chile's current Interest Coverage is 13.59, which is 38% above median its own 10-year median of 9.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sociedad Quimica Y Minera De Chile stock overvalued right now?
Based on GuruFocus' analysis, Sociedad Quimica Y Minera De Chile (SQM) is currently considered Significantly Overvalued. The stock's GF Value™ is $44.95, compared to a current price of $71.59 — trading 59.3% above its estimated fair value. The current Interest Coverage is 13.59, which is 38% above median its 10-year median of 9.86 and 33.1% above the Chemicals industry median of 10.21. Sociedad Quimica Y Minera De Chile's overall GF Score™ is 88/100 with 5 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 Sociedad Quimica Y Minera De Chile (SQM), the current Interest Coverage is 13.59 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 Sociedad Quimica Y Minera De Chile (SQM) Overvalued in 2026?

Based on GuruFocus' analysis, Sociedad Quimica Y Minera De Chile stock appears to be overvalued. The current stock price of $71.59 is trading 59.3% above its estimated GF Value™ of $44.95. GuruFocus considers Sociedad Quimica Y Minera De Chile to be Significantly Overvalued.

Key valuation signals for SQM:

  • Interest Coverage: 13.59 (38% above median its 10-year median of 9.86)
  • GF Value™: $44.95 vs. price of $71.59 (59.3% above fair value)
  • GF Score™: 88/100 with 5 warning signs
  • Industry Position: 33.1% above the Chemicals median (#671 of 1237)

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


Sociedad Quimica Y Minera De Chile Business Description

Address El Trovador 4285, 6th Floor, Las Condes, Santiago, CHL
Sociedad Quimica y Minera de Chile is a Chilean commodities producer with significant operations in lithium (primarily used in batteries for electric vehicles and energy storage systems), specialty and standard potassium fertilizers, iodine (primarily used in X-ray contrast media), and solar salts. The company extracts these materials through its high-quality salt brine deposits and caliche ore. SQM also sells lithium concentrate from a joint venture hard rock lithium project in Australia and expanding its lithium refining assets in China.
88GF Score

Get the complete analysis for SQM

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

$71.59
Price
$44.95
GF Value