AAIRF (American Aires) Effective Interest Rate on Debt %: 19.31% (As of Sep. 2025)

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What is American Aires Effective Interest Rate on Debt %?

American Aires AAIRF +0.24% Effective Interest Rate on Debt % is 19.31% as of Sep. 2025. The stock has 3 warning signs investors should review.

Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. American Aires's annualized positive value of Interest Expense for the quarter that ended in Sep. 2025 was $0.30 Mil. American Aires's average total debt for the quarter that ended in Sep. 2025 was $1.55 Mil. Therefore, American Aires's annualized Effective Interest Rate on Debt % for the quarter that ended in Sep. 2025 was 19.31%.


American Aires  (OTCPK:AAIRF) Effective Interest Rate on Debt % Explanation

Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.


American Aires Effective Interest Rate on Debt % Related Terms


American Aires Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for American Aires's Effective Interest Rate on Debt % 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.

American Aires Effective Interest Rate on Debt % Chart

American Aires Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Effective Interest Rate on Debt %
Get a 7-Day Free Trial 15.38 23.29 38.78 58.56 45.63

American Aires Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25
Effective Interest Rate on Debt % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 56.59 15.95 25.98 20.01 19.31

AAIRF vs APH, GLW, TEL: Effective Interest Rate on Debt % Comparison

For the Electronic Components subindustry, American Aires's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % 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.


American Aires Effective Interest Rate on Debt % vs Hardware Industry

For the Hardware industry and Technology sector, American Aires's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where American Aires's Effective Interest Rate on Debt % falls into.



American Aires Effective Interest Rate on Debt % Calculation

American Aires's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Dec. 2024 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Dec. 2023 )+Total Debt  (A: Dec. 2024 ))/ count )
=-1  *  -0.18/( (0.259+0.53)/ 2 )
=-1  *  -0.18/0.3945
=45.63 %

where

Total Debt  (A: Dec. 2023 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0.045 + 0.214
=0.259

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0.042 + 0.488
=0.53

American Aires's annualized Effective Interest Rate on Debt % for the quarter that ended in Sep. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Jun. 2025 )+Total Debt  (Q: Sep. 2025 ))/ count )
=-1  *  -0.3/( (1.835+1.273)/ 2 )
=-1  *  -0.3/1.554
=19.31 %

where

Total Debt  (Q: Jun. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0.044 + 1.791
=1.835

Total Debt  (Q: Sep. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0.043 + 1.23
=1.273

* 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.

In the calculation of annual Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data, the Interest Expense data used here is four times the quarterly (Sep. 2025) interest expense data. Effective Interest Rate on Debt % is displayed in the 30-year financial page.

What does a Effective Interest Rate on Debt % of 19.31% mean?
American Aires (AAIRF) has a Effective Interest Rate on Debt % of 19.31% as of Sep. 2025. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on American Aires and its competitors.
Is American Aires' Effective Interest Rate on Debt % too high?
American Aires' current Effective Interest Rate on Debt % is 19.31%.
How does American Aires' Effective Interest Rate on Debt % compare to APH and GLW?
American Aires' Effective Interest Rate on Debt % of 19.31% can be compared against companies in the Hardware industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Effective Interest Rate on Debt % for a Hardware company?
A good Effective Interest Rate on Debt % depends on the Hardware industry context. However, Effective Interest Rate on Debt % 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 Effective Interest Rate on Debt % mean?
A high Effective Interest Rate on Debt % can signal that a stock is expensive relative to its fundamentals. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on American Aires and its competitors. American Aires's current Effective Interest Rate on Debt % is 19.31%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Aires stock overvalued right now?
Based on GuruFocus' analysis, American Aires (AAIRF) is currently considered Possible Value Trap. The stock's GF Value™ is $0.18, compared to a current price of $0.04 — trading 76.6% below its estimated fair value. The current Effective Interest Rate on Debt % is 19.31%. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Effective Interest Rate on Debt % calculated?
Effective Interest Rate on Debt % is calculated from a company's financial statements. For American Aires (AAIRF), the current Effective Interest Rate on Debt % is 19.31% as of Sep. 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.

American Aires Business Description

Other Exchanges A5A0:GermanyWIFI:Canada
Address 400 Applewood Crescent, Suite 100, Vaughan, ON, CAN, L4K 0C3
American Aires Inc is engaged in the production, distribution, and sales of electromagnetic field (EMF) protection devices. The company manufactures devices that protect users from EMF radiation, which is emitted by electronic devices (phones, laptops, WiFi modems, EVs, etc.). It uses a proprietary, silicon-based Aires Resonator Chip in its devices, which is designed to neutralize the negative health effects of EMFs. The company's product offerings comprise different types of EMF protection devices, such as Lifetune Flex, Lifetune Zone, Lifetune One, Lifetune Zone Max, and others. Geographically, the company generates a majority of its revenue from the United States, followed by Canada, and the Rest of the world.