Interest Expense is the amount reported by a company or individual as an expense for borrowed money. AAR's interest expense for the
three
months ended in Feb. 2026 was € -15 Mil.
Its interest expense for the trailing twelve months (TTM) ended in Feb. 2026 was €-64 Mil.
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. AAR's Operating Income for the
three
months ended in Feb. 2026 was € 54 Mil. AAR's Interest Expense for the
three
months ended in Feb. 2026 was € -15 Mil.
AAR's Interest Coverage for the quarter that ended in Feb. 2026 was 3.68.
The higher the ratio, the stronger the company's financial strength is. Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.
AAR (FRA:ARZ) Interest Expense Explanation
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. The higher, the better.
* 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.
The higher the ratio, the stronger the company's financial strength is.
AAR Interest Expense Historical Data
* Premium members only.
The historical data trend for AAR's Interest Expense 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.
Interest Expense is the amount reported by a company or individual as an expense for borrowed money.
Interest Expense for the trailing twelve months (TTM) ended in Feb. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €-64 Mil.
* 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.
AAR (FRA:ARZ) has a Interest Expense of €-64 Mil as of Feb. 2026. Interest Expense is the amount a company pays on its long-term debt. View historical data on AAR and its competitors.
Is AAR's Interest Expense too high?
AAR's current Interest Expense is €-64 Mil. Overall, AAR has a GF Score™ of 83/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does AAR's Interest Expense compare to KRMN and VSEC?
AAR's Interest Expense of €-64 Mil can be compared against companies in the Aerospace & Defense industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Expense for an Aerospace & Defense company?
A good Interest Expense depends on the Aerospace & Defense industry context. However, Interest Expense should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Expense mean?
A high Interest Expense can signal that a stock is expensive relative to its fundamentals. Interest Expense is the amount a company pays on its long-term debt. View historical data on AAR and its competitors. AAR's current Interest Expense is €-64 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AAR stock overvalued right now?
Based on GuruFocus' analysis, AAR (FRA:ARZ) is currently considered Significantly Overvalued. The stock's GF Value™ is €73.66, compared to a current price of €117.30 — trading 59.2% above its estimated fair value. The current Interest Expense is €-64 Mil. AAR's overall GF Score™ is 83/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Expense calculated?
Interest Expense is calculated from a company's financial statements. For AAR (FRA:ARZ), the current Interest Expense is €-64 Mil 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.
Is AAR (FRA:ARZ) Overvalued in 2026?
Based on GuruFocus' analysis, AAR stock appears to be overvalued.
The current stock price of €117.30 is trading 59.2% above its estimated GF Value™ of €73.66.
GuruFocus considers AAR to be Significantly Overvalued.
Key valuation signals for FRA:ARZ:
Interest Expense: €-64 Mil
GF Value™: €73.66 vs. price of €117.30 (59.2% above fair value)
No single metric tells the full story. See the FRA:ARZ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
AAR Corp is engaged in providing products and services to aviation, government and defense market. It operates in segments namely: The parts supply segment majorly consists of sales and leasing of USM and aftermarket distribution of new, OEM-supplied replacement parts; Repair & Engineering segment provides airframe maintenance, component repair, and landing gear overhaul services; Integrated Solutions segment consists of its fleet management and operations of customer-owned aircraft, customized performance-based supply chain logistics programs in support of the U.S. Department of Defense, flight hour component inventory; and The Expeditionary Services segment consists of products and services supporting the movement of equipment and personnel by the U.S. and foreign governments and NGOs.
83GF Score
Get the complete analysis for FRA:ARZ
Interest Expense is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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