Testa Residencial SocimiXMAD:YTST 65 Interest Coverage is 1.00 as of Dec. 2025, which is 23% above its 10-year median of 0.81. GuruFocus rates XMAD:YTST with a GF Score™ of 65/100 and a GF Value™ of €3.67 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 699 REITs companies, Testa Residencial Socimi ranks worse than 90.27% 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. Testa Residencial Socimi's
Operating Income
for the
six
months ended in Dec. 2025 was €33.7 Mil. Testa Residencial Socimi's Interest Expense for the
six
months ended in Dec. 2025 was €-33.8 Mil.
Testa Residencial Socimi's interest coverage for the quarter that ended in Dec. 2025 was 1.00.
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. Testa Residencial Socimi SAs earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.
The historical rank and industry rank for Testa Residencial Socimi's Interest Coverage or its related term are showing as below:
XMAD:YTST'
s Interest Coverage Range Over the Past 10 Years
Min: 0.52 Med: 0.81 Max: 0.94
Current: 0.82
XMAD:YTST's Interest Coverage is ranked worse than 90.27% of 699
companies
in the REITs industry
Industry Median: 3.11
vs XMAD:YTST: 0.82
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 .
Testa Residencial Socimi Interest Coverage Related Terms
Testa Residencial Socimi 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.
XMAD:YTST vs VICI, WPC: Interest Coverage Comparison
For the REIT - Diversified subindustry, Testa Residencial Socimi'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.
Testa Residencial Socimi Interest Coverage vs REITs Industry
For the REITs industry and Real Estate sector, Testa Residencial Socimi's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Testa Residencial Socimi'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.
Testa Residencial Socimi (XMAD:YTST) has a Interest Coverage of 1.00 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Testa Residencial Socimi and its competitors. This is 23% above median its historical median of 0.81. Over the past decade, Testa Residencial Socimi's Interest Coverage has ranged from 0.52 to 0.94. According to the industry distribution chart, Testa Residencial Socimi ranks #631 out of 699 companies in the REITs industry, placing it in the top 90.3%.
Is Testa Residencial Socimi's Interest Coverage too high?
Testa Residencial Socimi's current Interest Coverage of 1.00 is 23% above median its 10-year median of 0.81. Over the past 10 years, this metric has ranged from a low of 0.52 to a high of 0.94. The REITs industry median Interest Coverage is 3.11. Testa Residencial Socimi's value of 1.00 is 67.8% below this industry median. Based on the distribution chart, Testa Residencial Socimi ranks #631 out of 699 companies in the REITs industry, which is in the bottom quartile relative to peers. Overall, Testa Residencial Socimi has a GF Score™ of 65/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Testa Residencial Socimi's Interest Coverage compare to VICI and WPC?
According to the REITs industry distribution chart, Testa Residencial Socimi ranks #631 out of 699 companies for Interest Coverage. This places Testa Residencial Socimi in the lower half of its industry. The industry median Interest Coverage is 3.11. Testa Residencial Socimi's value of 1.00 is 67.8% below this benchmark. Historically, Testa Residencial Socimi's own Interest Coverage has ranged from 0.52 to 0.94 over the past decade. While the company's 10-year median is 0.81 vs. the industry median of 3.11, Testa Residencial Socimi 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 REITs company?
The median Interest Coverage among REITs companies is 3.11, based on 699 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. Testa Residencial Socimi's current Interest Coverage of 1.00 is 67.8% 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 Testa Residencial Socimi and its competitors. For the REITs industry, the median Interest Coverage is 3.11 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Testa Residencial Socimi's current Interest Coverage is 1.00, which is 23% above median its own 10-year median of 0.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Testa Residencial Socimi stock overvalued right now?
Based on GuruFocus' analysis, Testa Residencial Socimi (XMAD:YTST) is currently considered Modestly Undervalued. The stock's GF Value™ is €3.67, compared to a current price of €3.24 — trading 11.7% below its estimated fair value. The current Interest Coverage is 1.00, which is 23% above median its 10-year median of 0.81 and 67.8% below the REITs industry median of 3.11. Testa Residencial Socimi's overall GF Score™ is 65/100 with 6 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 Testa Residencial Socimi (XMAD:YTST), the current Interest Coverage is 1.00 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 Testa Residencial Socimi (XMAD:YTST) Overvalued in 2026?
Based on GuruFocus' analysis, Testa Residencial Socimi stock appears to be undervalued.
The current stock price of €3.24 is trading 11.7% below its estimated GF Value™ of €3.67.
GuruFocus considers Testa Residencial Socimi to be Modestly Undervalued.
Key valuation signals for XMAD:YTST:
Interest Coverage: 1.00 (23% above median its 10-year median of 0.81)
GF Value™: €3.67 vs. price of €3.24 (11.7% below fair value)
Industry Position: 67.8% below the REITs median (#631 of 699)
No single metric tells the full story. See the XMAD:YTST stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Testa Residencial Socimi SA is a real estate investment trust. The company is a property company in the rental housing sector. Its portfolio includes residential and retail properties.
65GF Score
Get the complete analysis for XMAD:YTST
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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