GenthermTHRM +2.66%77 Interest Coverage is 6.83 as of Mar. 2026, which is 64% below its 10-year median of 18.80. GuruFocus rates THRM with a GF Score™ of 77/100 and a GF Value™ of $45.61 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,066 Vehicles & Parts companies, Gentherm ranks worse than 53.75% 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. Gentherm's
Operating Income
for the
three
months ended in Mar. 2026 was $18 Mil. Gentherm's Interest Expense for the
three
months ended in Mar. 2026 was $-3 Mil.
Gentherm's interest coverage for the quarter that ended in Mar. 2026 was 6.83.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Gentherm's Interest Coverage or its related term are showing as below:
THRM'
s Interest Coverage Range Over the Past 10 Years
Min: 6.95 Med: 18.8 Max: 43.1
Current: 7.11
THRM's Interest Coverage is ranked worse than 53.75% of 1066
companies
in the Vehicles & Parts industry
Industry Median: 8.295
vs THRM: 7.11
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 .
Gentherm Interest Coverage Related Terms
Gentherm Interest Coverage Historical Data
* Premium members only.
The historical data trend for Gentherm'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.
THRM vs PLOW, HYLN, SMP: Interest Coverage Comparison
For the Auto Parts subindustry, Gentherm'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.
Gentherm Interest Coverage vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Gentherm's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Gentherm's Interest Coverage falls into.
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:
* 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.
Gentherm (THRM) has a Interest Coverage of 6.83 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Gentherm and its competitors. This is 64% below median its historical median of 18.80. Over the past decade, Gentherm's Interest Coverage has ranged from 6.95 to 43.10. According to the industry distribution chart, Gentherm ranks #573 out of 1066 companies in the Vehicles & Parts industry, placing it in the top 53.8%.
Is Gentherm's Interest Coverage too high?
Gentherm's current Interest Coverage of 6.83 is 64% below median its 10-year median of 18.80. Over the past 10 years, this metric has ranged from a low of 6.95 to a high of 43.10. The Vehicles & Parts industry median Interest Coverage is 8.30. Gentherm's value of 6.83 is 17.7% below this industry median. Based on the distribution chart, Gentherm ranks #573 out of 1066 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, Gentherm has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Gentherm's Interest Coverage compare to PLOW and HYLN?
According to the Vehicles & Parts industry distribution chart, Gentherm ranks #573 out of 1066 companies for Interest Coverage. This places Gentherm in the lower half of its industry. The industry median Interest Coverage is 8.30. Gentherm's value of 6.83 is 17.7% below this benchmark. Historically, Gentherm's own Interest Coverage has ranged from 6.95 to 43.10 over the past decade. While the company's 10-year median is 18.80 vs. the industry median of 8.30, Gentherm 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.30, based on 1,066 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. Gentherm's current Interest Coverage of 6.83 is 17.7% 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 Gentherm and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gentherm's current Interest Coverage is 6.83, which is 64% below median its own 10-year median of 18.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gentherm stock overvalued right now?
Based on GuruFocus' analysis, Gentherm (THRM) is currently considered Modestly Undervalued. The stock's GF Value™ is $45.61, compared to a current price of $36.37 — trading 20.3% below its estimated fair value. The current Interest Coverage is 6.83, which is 64% below median its 10-year median of 18.80 and 17.7% below the Vehicles & Parts industry median of 8.30. Gentherm's overall GF Score™ is 77/100 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 Gentherm (THRM), the current Interest Coverage is 6.83 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 Gentherm (THRM) Overvalued in 2026?
Based on GuruFocus' analysis, Gentherm stock appears to be undervalued.
The current stock price of $36.37 is trading 20.3% below its estimated GF Value™ of $45.61.
GuruFocus considers Gentherm to be Modestly Undervalued.
Key valuation signals for THRM:
Interest Coverage: 6.83 (64% below median its 10-year median of 18.80)
GF Value™: $45.61 vs. price of $36.37 (20.3% below fair value)
Industry Position: 17.7% below the Vehicles & Parts median (#573 of 1066)
No single metric tells the full story. See the THRM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Gentherm Inc is an automotive parts manufacturer. The business activities of the group function through the Automotive and Medical segments. The vast majority of the firm's revenue comes from the Automotive segment, which includes automotive climate comfort systems, automotive cable systems, battery performance solutions, and automotive electronics and software systems. The medical segment is comprised of the results from the patient temperature management business in the medical industry. Its geographical segments are the USA, China, South Korea, Germany, Japan, the Czech Republic, and other countries.
77GF Score
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