Ratos AB (STU:RAZB) Interest Coverage: 1.26 (As of Mar. 2026) — 45% Below Median


STU:RAZB Ratos AB STU:RAZB
58 GF Score
Price €3.01
GF Value €2.10
! 3 Warning Signs
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What is Ratos AB Interest Coverage?

Ratos AB STU:RAZB +1.07% 58 Interest Coverage is 1.26 as of Mar. 2026, which is 45% below its 10-year median of 2.30. GuruFocus rates STU:RAZB with a GF Score™ of 58/100 and a GF Value™ of €2.10. The stock has 3 warning signs investors should review. Among 1,354 Construction companies, Ratos AB ranks worse than 73855.17% 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. Ratos AB's Operating Income for the three months ended in Mar. 2026 was €11 Mil. Ratos AB's Interest Expense for the three months ended in Mar. 2026 was €-9 Mil. Ratos AB's interest coverage for the quarter that ended in Mar. 2026 was 1.26. The higher the ratio, the stronger the company's financial strength is.

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


STU:RAZB's Interest Coverage is not ranked *
in the Construction industry.
Industry Median: 7.865
* 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.


Ratos AB  (STU:RAZB) 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 .


Ratos AB Interest Coverage Related Terms


Ratos AB Interest Coverage Historical Data

* Premium members only.

The historical data trend for Ratos AB'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.

Ratos AB Interest Coverage Chart

Ratos AB 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 4.80 3.64 1.25 0.56 0.00

Ratos AB 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 2.15 5.15 4.34 0.00 1.26

STU:RAZB vs PWR, FIX, EME: Interest Coverage Comparison

For the Engineering & Construction subindustry, Ratos AB'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.


Ratos AB Interest Coverage vs Construction Industry

For the Construction industry and Industrials sector, Ratos AB's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Ratos AB's Interest Coverage falls into.


STU:RAZB
58GF Score
Ratos AB STU:RAZB
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Ratos AB 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.

Ratos AB'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, Ratos AB's Interest Expense was €-47 Mil. Its Operating Income was €-117 Mil. And its Long-Term Debt & Capital Lease Obligation was €643 Mil.

Ratos AB did not have earnings to cover the interest expense.

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

Here, for the three months ended in Mar. 2026, Ratos AB's Interest Expense was €-9 Mil. Its Operating Income was €11 Mil. And its Long-Term Debt & Capital Lease Obligation was €688 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*11.326/-9.005
=1.26

* 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 1.26 mean?
Ratos AB (STU:RAZB) has a Interest Coverage of 1.26 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Ratos AB and its competitors. This is 45% below median its historical median of 2.30. According to the industry distribution chart, Ratos AB ranks #999999 out of 1354 companies in the Construction industry.
Is Ratos AB's Interest Coverage too high?
Ratos AB's current Interest Coverage of 1.26 is 45% below median its 10-year median of 2.30. The Construction industry median Interest Coverage is 7.87. Ratos AB's value of 1.26 is 84% below this industry median. Based on the distribution chart, Ratos AB ranks #999999 out of 1354 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Ratos AB has a GF Score™ of 58/100, reflecting its overall financial health beyond just this single metric.
How does Ratos AB's Interest Coverage compare to PWR and FIX?
According to the Construction industry distribution chart, Ratos AB ranks #999999 out of 1354 companies for Interest Coverage. This places Ratos AB in the lower half of its industry. The industry median Interest Coverage is 7.87. Ratos AB's value of 1.26 is 84% below this benchmark. While the company's 10-year median is 2.30 vs. the industry median of 7.87, Ratos AB 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 Construction company?
The median Interest Coverage among Construction companies is 7.87, based on 1,354 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. Ratos AB's current Interest Coverage of 1.26 is 84% 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 Ratos AB and its competitors. For the Construction industry, the median Interest Coverage is 7.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ratos AB's current Interest Coverage is 1.26, which is 45% below median its own 10-year median of 2.30. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ratos AB stock overvalued right now?
Ratos AB (STU:RAZB) has a current Interest Coverage of 1.26. The stock's GF Value™ is €2.10, compared to a current price of €3.01 — trading 43.4% above its estimated fair value. The current Interest Coverage is 1.26, which is 45% below median its 10-year median of 2.30 and 84% below the Construction industry median of 7.87. Ratos AB's overall GF Score™ is 58/100 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 Ratos AB (STU:RAZB), the current Interest Coverage is 1.26 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 Ratos AB (STU:RAZB) Overvalued in 2026?

Based on GuruFocus' analysis, Ratos AB stock appears to be overvalued. The current stock price of €3.01 is trading 43.4% above its estimated GF Value™ of €2.10.

Key valuation signals for STU:RAZB:

  • Interest Coverage: 1.26 (45% below median its 10-year median of 2.30)
  • GF Value™: €2.10 vs. price of €3.01 (43.4% above fair value)
  • GF Score™: 58/100 with 3 warning signs
  • Industry Position: 84% below the Construction median (#999999 of 1354)

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


Ratos AB Business Description

Address Sturegatan 10, Box 511, Stockholm, SWE, SE-114 11
Ratos AB is an investment company that owns and develops unlisted medium-and small-sized Nordic companies. The company focuses on technological and infrastructure solutions and comprises two business segment; Construction & Services and Consumer. Majority of the revenue is generated from its Construction & Services segment which predominantly includes maintenance of infrastructure within railway, road, energy solutions, and construction of new critical buildings such as hospitals, schools, police stations and governmental buildings in the Nordics. Geographically, the company generates majority of its revenue from Norway and rest from Sweden and other regions.
58GF Score

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

€3.01
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