Southstone MineralsTSXV:SML Interest Coverage is 1.14 as of Feb. 2026, which is 73% below its 10-year median of 4.23. The stock has 4 warning signs investors should review.
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. Southstone Minerals's
Operating Income
for the
three
months ended in Feb. 2026 was C$0.02 Mil. Southstone Minerals's Interest Expense for the
three
months ended in Feb. 2026 was C$-0.01 Mil.
Southstone Minerals's interest coverage for the quarter that ended in Feb. 2026 was 1.14.
The higher the ratio, the stronger the company's financial strength is.
Warning Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Southstone Minerals Ltd interest coverage is 4.65, which is low.
The historical rank and industry rank for Southstone Minerals's Interest Coverage or its related term are showing as below:
TSXV:SML'
s Interest Coverage Range Over the Past 10 Years
Min: 0.37 Med: 4.23 Max: 8.09
Current: 4.65
TSXV:SML's Interest Coverage is not ranked
in the Metals & Mining industry.
Industry Median: No Debt
vs TSXV:SML: 4.65
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 .
Southstone Minerals Interest Coverage Related Terms
Southstone Minerals Interest Coverage Historical Data
* Premium members only.
The historical data trend for Southstone Minerals'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.
For the Other Precious Metals & Mining subindustry, Southstone Minerals'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.
Southstone Minerals Interest Coverage vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Southstone Minerals's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Southstone Minerals'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.
Southstone Minerals (TSXV:SML) has a Interest Coverage of 1.14 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Southstone Minerals and its competitors. This is 73% below median its historical median of 4.23. Over the past decade, Southstone Minerals' Interest Coverage has ranged from 0.37 to 8.09.
Is Southstone Minerals' Interest Coverage too high?
Southstone Minerals' current Interest Coverage of 1.14 is 73% below median its 10-year median of 4.23. Over the past 10 years, this metric has ranged from a low of 0.37 to a high of 8.09. The Metals & Mining industry median Interest Coverage is 10,000.00. Southstone Minerals' value of 1.14 is 100% below this industry median.
How does Southstone Minerals' Interest Coverage compare to competitors?
Southstone Minerals' Interest Coverage of 1.14 can be compared against companies in the Metals & Mining industry. The industry median Interest Coverage is 10,000.00. Southstone Minerals' value of 1.14 is 100% below this benchmark. Historically, Southstone Minerals' own Interest Coverage has ranged from 0.37 to 8.09 over the past decade. While the company's 10-year median is 4.23 vs. the industry median of 10,000.00, Southstone Minerals 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 Metals & Mining company?
The median Interest Coverage among Metals & Mining companies is 10,000.00, based on 1,317 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. Southstone Minerals's current Interest Coverage of 1.14 is 100% 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 Southstone Minerals and its competitors. For the Metals & Mining industry, the median Interest Coverage is 10,000.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Southstone Minerals's current Interest Coverage is 1.14, which is 73% below median its own 10-year median of 4.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Southstone Minerals stock overvalued right now?
Southstone Minerals (TSXV:SML) has a current Interest Coverage of 1.14. The current Interest Coverage is 1.14, which is 73% below median its 10-year median of 4.23 and 100% below the Metals & Mining industry median of 10,000.00. 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 Southstone Minerals (TSXV:SML), the current Interest Coverage is 1.14 as of Feb. 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.
Southstone Minerals Ltd is a Canadian junior mining company engaged in the acquisition, exploration, evaluation, development, and mining of mineral properties. It holds the majority interest in the Oena Diamond Mine, an alluvial diamond property located in the Northern Cape Province, South Africa, that produces diamonds of varying sizes and characteristics, including occasional larger stones. The company generates revenue from the sale of diamonds.
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