Holcim EcuadorXGUA:HLE -15.15%91 Interest Coverage is 40.45 as of Dec. 2025, which is 147% above its 10-year median of 16.40. GuruFocus rates XGUA:HLE with a GF Score™ of 91/100 and a GF Value™ of $58.68 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 307 Building Materials companies, Holcim Ecuador ranks better than 83.06% 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. Holcim Ecuador's
Operating Income
for the
six
months ended in Dec. 2025 was $76.7 Mil. Holcim Ecuador's Interest Expense for the
six
months ended in Dec. 2025 was $-1.9 Mil.
Holcim Ecuador's interest coverage for the quarter that ended in Dec. 2025 was 40.45.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Holcim Ecuador's Interest Coverage or its related term are showing as below:
XGUA:HLE'
s Interest Coverage Range Over the Past 10 Years
Min: 8.65 Med: 16.4 Max: 107.5
Current: 40.45
XGUA:HLE's Interest Coverage is ranked better than 83.06% of 307
companies
in the Building Materials industry
Industry Median: 6.63
vs XGUA:HLE: 40.45
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 .
Holcim Ecuador Interest Coverage Related Terms
Holcim Ecuador Interest Coverage Historical Data
* Premium members only.
The historical data trend for Holcim Ecuador'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.
XGUA:HLE vs CRH, VMC, MLM: Interest Coverage Comparison
For the Building Materials subindustry, Holcim Ecuador'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.
Holcim Ecuador Interest Coverage vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Holcim Ecuador's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Holcim Ecuador'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.
Holcim Ecuador (XGUA:HLE) has a Interest Coverage of 40.45 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Holcim Ecuador and its competitors. This is 147% above median its historical median of 16.40. Over the past decade, Holcim Ecuador's Interest Coverage has ranged from 8.65 to 107.50. According to the industry distribution chart, Holcim Ecuador ranks #52 out of 307 companies in the Building Materials industry, placing it in the top 16.9%.
Is Holcim Ecuador's Interest Coverage too high?
Holcim Ecuador's current Interest Coverage of 40.45 is 147% above median its 10-year median of 16.40. Over the past 10 years, this metric has ranged from a low of 8.65 to a high of 107.50. The Building Materials industry median Interest Coverage is 6.63. Holcim Ecuador's value of 40.45 is 510.1% above this industry median. Based on the distribution chart, Holcim Ecuador ranks #52 out of 307 companies in the Building Materials industry, which is in the top quartile — a strong position relative to peers. Overall, Holcim Ecuador has a GF Score™ of 91/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Holcim Ecuador's Interest Coverage compare to CRH and VMC?
According to the Building Materials industry distribution chart, Holcim Ecuador ranks #52 out of 307 companies for Interest Coverage. This places Holcim Ecuador in the top 17% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 6.63. Holcim Ecuador's value of 40.45 is 510.1% above this benchmark. Historically, Holcim Ecuador's own Interest Coverage has ranged from 8.65 to 107.50 over the past decade. While the company's 10-year median is 16.40 vs. the industry median of 6.63, Holcim Ecuador 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 Building Materials company?
The median Interest Coverage among Building Materials companies is 6.63, based on 307 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. Holcim Ecuador's current Interest Coverage of 40.45 is 510.1% 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 Holcim Ecuador and its competitors. For the Building Materials industry, the median Interest Coverage is 6.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Holcim Ecuador's current Interest Coverage is 40.45, which is 147% above median its own 10-year median of 16.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Holcim Ecuador stock overvalued right now?
Based on GuruFocus' analysis, Holcim Ecuador (XGUA:HLE) is currently considered Modestly Undervalued. The stock's GF Value™ is $58.68, compared to a current price of $42.00 — trading 28.4% below its estimated fair value. The current Interest Coverage is 40.45, which is 147% above median its 10-year median of 16.40 and 510.1% above the Building Materials industry median of 6.63. Holcim Ecuador's overall GF Score™ is 91/100 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 Holcim Ecuador (XGUA:HLE), the current Interest Coverage is 40.45 as of Dec. 2025. 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 Holcim Ecuador (XGUA:HLE) Overvalued in 2026?
Based on GuruFocus' analysis, Holcim Ecuador stock appears to be undervalued.
The current stock price of $42.00 is trading 28.4% below its estimated GF Value™ of $58.68.
GuruFocus considers Holcim Ecuador to be Modestly Undervalued.
Key valuation signals for XGUA:HLE:
Interest Coverage: 40.45 (147% above median its 10-year median of 16.40)
GF Value™: $58.68 vs. price of $42.00 (28.4% below fair value)
Industry Position: 510.1% above the Building Materials median (#52 of 307)
No single metric tells the full story. See the XGUA:HLE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Holcim Ecuador SA is an Ecuador-based company engaged in the manufacturing and production of clinker, cement, and concrete. The company offers products and services for road development, buildings, infrastructure, developments and residences, and agro-industrial solutions.
91GF Score
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