Alimentation Couche-TardTSX:ATD -0.15%94 Interest Coverage is 9.19 as of Apr. 2026, which is 2% above its 10-year median of 8.98. GuruFocus rates TSX:ATD with a GF Score™ of 94/100 and a GF Value™ of C$84.53 (Modestly Overvalued). The stock has 8 warning signs investors should review. Among 828 Retail - Cyclical companies, Alimentation Couche-Tard ranks worse than 54.59% 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. Alimentation Couche-Tard's
Operating Income
for the
three
months ended in Apr. 2026 was C$1,730 Mil. Alimentation Couche-Tard's Interest Expense for the
three
months ended in Apr. 2026 was C$-188 Mil.
Alimentation Couche-Tard's interest coverage for the quarter that ended in Apr. 2026 was 9.19.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Alimentation Couche-Tard's Interest Coverage or its related term are showing as below:
TSX:ATD'
s Interest Coverage Range Over the Past 10 Years
Min: 5.81 Med: 8.98 Max: 13.61
Current: 6.43
TSX:ATD's Interest Coverage is ranked worse than 54.59% of 828
companies
in the Retail - Cyclical industry
Industry Median: 7.915
vs TSX:ATD: 6.43
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 .
Alimentation Couche-Tard Interest Coverage Related Terms
Alimentation Couche-Tard Interest Coverage Historical Data
* 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.
TSX:ATD vs CASY, WSM, ULTA: Interest Coverage Comparison
For the Specialty Retail subindustry, Alimentation Couche-Tard'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.
Alimentation Couche-Tard Interest Coverage vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Alimentation Couche-Tard's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Alimentation Couche-Tard'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.
Alimentation Couche-Tard (TSX:ATD) has a Interest Coverage of 9.19 as of Apr. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Alimentation Couche-Tard and its competitors. This is near median its historical median of 8.98. Over the past decade, Alimentation Couche-Tard's Interest Coverage has ranged from 5.81 to 13.61. According to the industry distribution chart, Alimentation Couche-Tard ranks #452 out of 828 companies in the Retail - Cyclical industry, placing it in the top 54.6%.
Is Alimentation Couche-Tard's Interest Coverage too high?
Alimentation Couche-Tard's current Interest Coverage of 9.19 is near median its 10-year median of 8.98. Over the past 10 years, this metric has ranged from a low of 5.81 to a high of 13.61. The Retail - Cyclical industry median Interest Coverage is 7.92. Alimentation Couche-Tard's value of 9.19 is 16.1% above this industry median. Based on the distribution chart, Alimentation Couche-Tard ranks #452 out of 828 companies in the Retail - Cyclical industry, which is below the industry midpoint. Overall, Alimentation Couche-Tard has a GF Score™ of 94/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Alimentation Couche-Tard's Interest Coverage compare to CASY and WSM?
According to the Retail - Cyclical industry distribution chart, Alimentation Couche-Tard ranks #452 out of 828 companies for Interest Coverage. This places Alimentation Couche-Tard in the lower half of its industry. The industry median Interest Coverage is 7.92. Alimentation Couche-Tard's value of 9.19 is 16.1% above this benchmark. Historically, Alimentation Couche-Tard's own Interest Coverage has ranged from 5.81 to 13.61 over the past decade. While the company's 10-year median is 8.98 vs. the industry median of 7.92, Alimentation Couche-Tard 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 Retail - Cyclical company?
The median Interest Coverage among Retail - Cyclical companies is 7.92, based on 828 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. Alimentation Couche-Tard's current Interest Coverage of 9.19 is 16.1% 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 Alimentation Couche-Tard and its competitors. For the Retail - Cyclical industry, the median Interest Coverage is 7.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alimentation Couche-Tard's current Interest Coverage is 9.19, which is near median its own 10-year median of 8.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alimentation Couche-Tard stock overvalued right now?
Based on GuruFocus' analysis, Alimentation Couche-Tard (TSX:ATD) is currently considered Modestly Overvalued. The stock's GF Value™ is C$84.53, compared to a current price of C$93.43 — trading 10.5% above its estimated fair value. The current Interest Coverage is 9.19, which is near median its 10-year median of 8.98 and 16.1% above the Retail - Cyclical industry median of 7.92. Alimentation Couche-Tard's overall GF Score™ is 94/100 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 Alimentation Couche-Tard (TSX:ATD), the current Interest Coverage is 9.19 as of Apr. 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 Alimentation Couche-Tard (TSX:ATD) Overvalued in 2026?
Based on GuruFocus' analysis, Alimentation Couche-Tard stock appears to be overvalued.
The current stock price of C$93.43 is trading 10.5% above its estimated GF Value™ of C$84.53.
GuruFocus considers Alimentation Couche-Tard to be Modestly Overvalued.
Key valuation signals for TSX:ATD:
Interest Coverage: 9.19 (near median its 10-year median of 8.98)
GF Value™: C$84.53 vs. price of C$93.43 (10.5% above fair value)
Industry Position: 16.1% above the Retail - Cyclical median (#452 of 828)
No single metric tells the full story. See the TSX:ATD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Alimentation Couche-Tard Inc operates a network of convenience stores across North America, Europe, and Asia. The company generates income through the sale of tobacco products, groceries, beverages, fresh food, quick service restaurants, car wash services, other retail products and services, road transportation fuel, stationary energy, marine fuel, and chemicals. In addition, the company operates stores under the Circle K banner in other countries such as Indonesia, Egypt, Macau, and others. Its operation is geographically divided into the U.S., Europe and other regions, and Canada. Revenue from external customers falls mainly into three categories: merchandise and services, road transportation fuel, and others. The company generates the majority of its revenue from the United States.
94GF Score
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