LSI Industries (STU:LS2) Interest Coverage: 8.60 (As of Mar. 2026) — 17% Below Median


STU:LS2 LSI Industries Inc STU:LS2
85 GF Score
Price €22.80
GF Value €16.86
Valuation Significantly Overvalued
! 8 Warning Signs
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What is LSI Industries Interest Coverage?

LSI Industries STU:LS2 -1.72% 85 Interest Coverage is 8.60 as of Mar. 2026, which is 17% below its 10-year median of 10.42. GuruFocus rates STU:LS2 with a GF Score™ of 85/100 and a GF Value™ of €16.86 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 1,673 Hardware companies, LSI Industries ranks worse than 50.69% 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. LSI Industries's Operating Income for the three months ended in Mar. 2026 was €3.5 Mil. LSI Industries's Interest Expense for the three months ended in Mar. 2026 was €-0.4 Mil. LSI Industries's interest coverage for the quarter that ended in Mar. 2026 was 8.60. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for LSI Industries's Interest Coverage or its related term are showing as below:

STU:LS2' s Interest Coverage Range Over the Past 10 Years
Min: 0.55   Med: 10.42   Max: 387.67
Current: 13.51


STU:LS2's Interest Coverage is ranked worse than
50.69% of 1673 companies
in the Hardware industry
Industry Median: 13.73 vs STU:LS2: 13.51

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


LSI Industries  (STU:LS2) 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 .


LSI Industries Interest Coverage Related Terms


LSI Industries Interest Coverage Historical Data

* Premium members only.

The historical data trend for LSI Industries'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.

LSI Industries Interest Coverage Chart

LSI Industries Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 28.09 10.78 10.05 16.49 11.45

LSI Industries 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 9.44 13.89 14.70 15.48 8.60

STU:LS2 vs DAKT, KOPN, LPTH: Interest Coverage Comparison

For the Electronic Components subindustry, LSI Industries'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.


LSI Industries Interest Coverage vs Hardware Industry

For the Hardware industry and Technology sector, LSI Industries's Interest Coverage distribution charts can be found below:

* The bar in red indicates where LSI Industries's Interest Coverage falls into.


STU:LS2
85GF Score
LSI Industries Inc STU:LS2
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

LSI Industries 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.

LSI Industries's Interest Coverage for the fiscal year that ended in Jun. 2025 is calculated as

Here, for the fiscal year that ended in Jun. 2025, LSI Industries's Interest Expense was €-2.7 Mil. Its Operating Income was €31.1 Mil. And its Long-Term Debt & Capital Lease Obligation was €49.4 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2025 )/Interest Expense (A: Jun. 2025 )
=-1*31.077/-2.713
=11.45

LSI Industries's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, LSI Industries's Interest Expense was €-0.4 Mil. Its Operating Income was €3.5 Mil. And its Long-Term Debt & Capital Lease Obligation was €211.1 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*3.526/-0.41
=8.60

* 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 8.60 mean?
LSI Industries (STU:LS2) has a Interest Coverage of 8.60 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on LSI Industries and its competitors. This is 17% below median its historical median of 10.42. Over the past decade, LSI Industries' Interest Coverage has ranged from 0.55 to 387.67. According to the industry distribution chart, LSI Industries ranks #848 out of 1673 companies in the Hardware industry, placing it in the top 50.7%.
Is LSI Industries' Interest Coverage too high?
LSI Industries' current Interest Coverage of 8.60 is 17% below median its 10-year median of 10.42. Over the past 10 years, this metric has ranged from a low of 0.55 to a high of 387.67. The Hardware industry median Interest Coverage is 13.73. LSI Industries' value of 8.60 is 37.4% below this industry median. Based on the distribution chart, LSI Industries ranks #848 out of 1673 companies in the Hardware industry, which is below the industry midpoint. Overall, LSI Industries has a GF Score™ of 85/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does LSI Industries' Interest Coverage compare to DAKT and KOPN?
According to the Hardware industry distribution chart, LSI Industries ranks #848 out of 1673 companies for Interest Coverage. This places LSI Industries in the lower half of its industry. The industry median Interest Coverage is 13.73. LSI Industries' value of 8.60 is 37.4% below this benchmark. Historically, LSI Industries' own Interest Coverage has ranged from 0.55 to 387.67 over the past decade. While the company's 10-year median is 10.42 vs. the industry median of 13.73, LSI Industries 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 Hardware company?
The median Interest Coverage among Hardware companies is 13.73, based on 1,673 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. LSI Industries's current Interest Coverage of 8.60 is 37.4% 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 LSI Industries and its competitors. For the Hardware industry, the median Interest Coverage is 13.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LSI Industries's current Interest Coverage is 8.60, which is 17% below median its own 10-year median of 10.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LSI Industries stock overvalued right now?
Based on GuruFocus' analysis, LSI Industries (STU:LS2) is currently considered Significantly Overvalued. The stock's GF Value™ is €16.86, compared to a current price of €22.80 — trading 35.2% above its estimated fair value. The current Interest Coverage is 8.60, which is 17% below median its 10-year median of 10.42 and 37.4% below the Hardware industry median of 13.73. LSI Industries' overall GF Score™ is 85/100 with 8 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 LSI Industries (STU:LS2), the current Interest Coverage is 8.60 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 LSI Industries (STU:LS2) Overvalued in 2026?

Based on GuruFocus' analysis, LSI Industries stock appears to be overvalued. The current stock price of €22.80 is trading 35.2% above its estimated GF Value™ of €16.86. GuruFocus considers LSI Industries to be Significantly Overvalued.

Key valuation signals for STU:LS2:

  • Interest Coverage: 8.60 (17% below median its 10-year median of 10.42)
  • GF Value™: €16.86 vs. price of €22.80 (35.2% above fair value)
  • GF Score™: 85/100 with 8 warning signs
  • Industry Position: 37.4% below the Hardware median (#848 of 1673)

No single metric tells the full story. See the STU:LS2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


LSI Industries Business Description

Other Exchanges LYTS:USA
Address 10000 Alliance Road, Cincinnati, OH, USA, 45242
LSI Industries Inc provides corporate visual image solutions to the petroleum and convenience store industry. The company's operating segments include Lighting and Display Solutions. It generates maximum revenue from the Display solutions segment. Lighting Segment manufactures and markets outdoor and indoor lighting and lighting controls for the commercial, industrial, and multi-site retail markets, including the petroleum/convenience store, quick-service, and automotive markets. The Display Solutions Segment manufactures, sells, and installs exterior and interior visual image and display elements, including printed graphics, structural graphics, digital signage, menu board systems, display fixtures, refrigerated displays, and custom display elements.
85GF Score

Get the complete analysis for STU:LS2

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

€22.80
Price
€16.86
GF Value