Xerox HoldingsXTER:XER2 55 Interest Coverage is 0.30 as of Mar. 2026, which is 94% below its 10-year median of 5.19. GuruFocus rates XTER:XER2 with a GF Score™ of 55/100 and a GF Value™ of €46.93. The stock has 6 warning signs investors should review. Among 2,325 Industrial Products companies, Xerox Holdings ranks worse than 43010.71% 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. Xerox Holdings's
Operating Income
for the
three
months ended in Mar. 2026 was €22 Mil. Xerox Holdings's Interest Expense for the
three
months ended in Mar. 2026 was €-73 Mil.
Xerox Holdings's interest coverage for the quarter that ended in Mar. 2026 was 0.30.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Xerox Holdings's Interest Coverage or its related term are showing as below:
XTER:XER2's Interest Coverage is not ranked *
in the Industrial Products industry.
Industry Median: 14.8 * Ranked among companies with meaningful Interest Coverage only.
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 .
Xerox Holdings Interest Coverage Related Terms
Xerox Holdings Interest Coverage Historical Data
* Premium members only.
The historical data trend for Xerox Holdings'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.
XTER:XER2 vs ACTG, ACCO, EBF: Interest Coverage Comparison
For the Business Equipment & Supplies subindustry, Xerox Holdings'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.
Xerox Holdings Interest Coverage vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Xerox Holdings's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Xerox Holdings'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.
Xerox Holdings (XTER:XER2) has a Interest Coverage of 0.30 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Xerox Holdings and its competitors. This is 94% below median its historical median of 5.19. According to the industry distribution chart, Xerox Holdings ranks #999999 out of 2325 companies in the Industrial Products industry.
Is Xerox Holdings' Interest Coverage too high?
Xerox Holdings' current Interest Coverage of 0.30 is 94% below median its 10-year median of 5.19. The Industrial Products industry median Interest Coverage is 14.80. Xerox Holdings' value of 0.30 is 98% below this industry median. Based on the distribution chart, Xerox Holdings ranks #999999 out of 2325 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Xerox Holdings has a GF Score™ of 55/100, reflecting its overall financial health beyond just this single metric.
How does Xerox Holdings' Interest Coverage compare to ACTG and ACCO?
According to the Industrial Products industry distribution chart, Xerox Holdings ranks #999999 out of 2325 companies for Interest Coverage. This places Xerox Holdings in the lower half of its industry. The industry median Interest Coverage is 14.80. Xerox Holdings' value of 0.30 is 98% below this benchmark. While the company's 10-year median is 5.19 vs. the industry median of 14.80, Xerox Holdings 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 an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.80, based on 2,325 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. Xerox Holdings's current Interest Coverage of 0.30 is 98% 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 Xerox Holdings and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Xerox Holdings's current Interest Coverage is 0.30, which is 94% below median its own 10-year median of 5.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Xerox Holdings stock overvalued right now?
Xerox Holdings (XTER:XER2) has a current Interest Coverage of 0.30. The stock's GF Value™ is €46.93, compared to a current price of €13.85 — trading 70.5% below its estimated fair value. The current Interest Coverage is 0.30, which is 94% below median its 10-year median of 5.19 and 98% below the Industrial Products industry median of 14.80. Xerox Holdings' overall GF Score™ is 55/100 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 Xerox Holdings (XTER:XER2), the current Interest Coverage is 0.30 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 Xerox Holdings (XTER:XER2) Overvalued in 2026?
Based on GuruFocus' analysis, Xerox Holdings stock appears to be undervalued.
The current stock price of €13.85 is trading 70.5% below its estimated GF Value™ of €46.93.
Key valuation signals for XTER:XER2:
Interest Coverage: 0.30 (94% below median its 10-year median of 5.19)
GF Value™: €46.93 vs. price of €13.85 (70.5% below fair value)
Industry Position: 98% below the Industrial Products median (#999999 of 2325)
No single metric tells the full story. See the XTER:XER2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Xerox Holdings Corp is a workplace technology company, building and integrating services-led, software-enabled, workplace solutions for enterprises large and small. It provide advance document technology, services, software, and integrated IT infrastructure solutions for a range of customers including small and mid-sized businesses, large enterprises, governments and graphic communications providers, and for partners who serve them. Xerox serves customers globally in North America, Europe, Latin America, Brazil, Asia Pacific (APAC), the Middle East, Africa, and India.
55GF Score
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