Turning Point BrandsTPB -0.45%89 Interest Coverage is 1.74 as of Mar. 2026, which is 54% below its 10-year median of 3.78. GuruFocus rates TPB with a GF Score™ of 89/100 and a GF Value™ of $80.19 (Fairly Valued). The stock has 2 warning signs investors should review. Among 35 Tobacco Products companies, Turning Point Brands ranks worse than 82.86% 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. Turning Point Brands's
Operating Income
for the
three
months ended in Mar. 2026 was $12.5 Mil. Turning Point Brands's Interest Expense for the
three
months ended in Mar. 2026 was $-7.2 Mil.
Turning Point Brands's interest coverage for the quarter that ended in Mar. 2026 was 1.74.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Turning Point Brands's Interest Coverage or its related term are showing as below:
TPB'
s Interest Coverage Range Over the Past 10 Years
Min: 1.64 Med: 3.78 Max: 4.78
Current: 3.33
TPB's Interest Coverage is ranked worse than 82.86% of 35
companies
in the Tobacco Products industry
Industry Median: 10.9
vs TPB: 3.33
Turning Point Brands (NYSE:TPB) 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 .
Turning Point Brands Interest Coverage Related Terms
Turning Point Brands Interest Coverage Historical Data
* Premium members only.
The historical data trend for Turning Point Brands'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.
TPB vs UVV, AIIR, ISPR: Interest Coverage Comparison
For the Tobacco subindustry, Turning Point Brands'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.
Turning Point Brands Interest Coverage vs Tobacco Products Industry
For the Tobacco Products industry and Consumer Defensive sector, Turning Point Brands's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Turning Point Brands's Interest Coverage falls into.
Turning Point Brands 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:
* 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.
Turning Point Brands (TPB) has a Interest Coverage of 1.74 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Turning Point Brands and its competitors. This is 54% below median its historical median of 3.78. Over the past decade, Turning Point Brands' Interest Coverage has ranged from 1.64 to 4.78. According to the industry distribution chart, Turning Point Brands ranks #29 out of 35 companies in the Tobacco Products industry, placing it in the top 82.9%.
Is Turning Point Brands' Interest Coverage too high?
Turning Point Brands' current Interest Coverage of 1.74 is 54% below median its 10-year median of 3.78. Over the past 10 years, this metric has ranged from a low of 1.64 to a high of 4.78. The Tobacco Products industry median Interest Coverage is 10.90. Turning Point Brands' value of 1.74 is 84% below this industry median. Based on the distribution chart, Turning Point Brands ranks #29 out of 35 companies in the Tobacco Products industry, which is in the bottom quartile relative to peers. Overall, Turning Point Brands has a GF Score™ of 89/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Turning Point Brands' Interest Coverage compare to UVV and AIIR?
According to the Tobacco Products industry distribution chart, Turning Point Brands ranks #29 out of 35 companies for Interest Coverage. This places Turning Point Brands in the lower half of its industry. The industry median Interest Coverage is 10.90. Turning Point Brands' value of 1.74 is 84% below this benchmark. Historically, Turning Point Brands' own Interest Coverage has ranged from 1.64 to 4.78 over the past decade. While the company's 10-year median is 3.78 vs. the industry median of 10.90, Turning Point Brands 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 Tobacco Products company?
The median Interest Coverage among Tobacco Products companies is 10.90, based on 35 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. Turning Point Brands's current Interest Coverage of 1.74 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 Turning Point Brands and its competitors. For the Tobacco Products industry, the median Interest Coverage is 10.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Turning Point Brands's current Interest Coverage is 1.74, which is 54% below median its own 10-year median of 3.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Turning Point Brands stock overvalued right now?
Based on GuruFocus' analysis, Turning Point Brands (TPB) is currently considered Fairly Valued. The stock's GF Value™ is $80.19, compared to a current price of $87.65 — trading 9.3% above its estimated fair value. The current Interest Coverage is 1.74, which is 54% below median its 10-year median of 3.78 and 84% below the Tobacco Products industry median of 10.90. Turning Point Brands' overall GF Score™ is 89/100 with 2 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 Turning Point Brands (TPB), the current Interest Coverage is 1.74 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 Turning Point Brands (TPB) Overvalued in 2026?
Based on GuruFocus' analysis, Turning Point Brands stock appears to be overvalued.
The current stock price of $87.65 is trading 9.3% above its estimated GF Value™ of $80.19.
GuruFocus considers Turning Point Brands to be Fairly Valued.
Key valuation signals for TPB:
Interest Coverage: 1.74 (54% below median its 10-year median of 3.78)
GF Value™: $80.19 vs. price of $87.65 (9.3% above fair value)
Industry Position: 84% below the Tobacco Products median (#29 of 35)
No single metric tells the full story. See the TPB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Turning Point Brands Inc operates as a manufacturer, marketer, and provider of consumer products that include Other Tobacco Products (OTP) in the U.S. The company offers a wide variety across the OTP spectrum, including moist snuff tobacco (MST), loose-leaf chewing tobacco, premium cigarette papers, make- your-own (MYO) cigar wraps, cigars, liquid vapor products, and tobacco vaporizer products. It operates in two segments, namely Zig-Zag products and Stoker's products segment. The company generates maximum revenue from the Zig-Zag products segment.
89GF Score
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