ADSV (Allied Security Innovations) Interest Coverage: 0.44 (As of Dec. 2017)


What is Allied Security Innovations Interest Coverage?

Allied Security Innovations ADSV Interest Coverage is 0.44 as of Dec. 2017.

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. Allied Security Innovations's Operating Income for the six months ended in Dec. 2017 was $0.05 Mil. Allied Security Innovations's Interest Expense for the six months ended in Dec. 2017 was $-0.11 Mil. Allied Security Innovations's interest coverage for the quarter that ended in Dec. 2017 was 0.44. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Allied Security Innovations's Interest Coverage or its related term are showing as below:


ADSV's Interest Coverage is not ranked *
in the Software industry.
Industry Median: 24.65
* Ranked among companies with meaningful Interest Coverage only.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Allied Security Innovations  (OTCPK:ADSV) Interest Coverage Explanation

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 .

Allied Security Innovations Interest Coverage Related Terms

Allied Security Innovations Interest Coverage Historical Data

* Premium members only.

The historical data trend for Allied Security Innovations'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.

Allied Security Innovations Interest Coverage Chart

Allied Security Innovations Annual Data
Trend Dec00 Dec01 Dec02 Dec06 Dec07 Dec08 Dec09 Dec15 Dec16 Dec17
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 0.58 0.63 0.44

Allied Security Innovations Semi-Annual Data
Dec99 Dec00 Dec01 Dec02 Dec06 Dec07 Dec08 Dec09 Dec15 Dec16 Dec17
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 0.00 0.00 0.58 0.63 0.44

ADSV vs VMII, MGSGF, SOFT: Interest Coverage Comparison

For the Software - Application subindustry, Allied Security Innovations'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.

Allied Security Innovations Interest Coverage vs Software Industry

For the Software industry and Technology sector, Allied Security Innovations's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Allied Security Innovations's Interest Coverage falls into.


Allied Security Innovations Interest Coverage Calculation

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:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Allied Security Innovations's Interest Coverage for the fiscal year that ended in Dec. 2017 is calculated as

Here, for the fiscal year that ended in Dec. 2017, Allied Security Innovations's Interest Expense was $-0.11 Mil. Its Operating Income was $0.05 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.38 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2017 )/Interest Expense (A: Dec. 2017 )
=-1*0.049/-0.112
=0.44

Allied Security Innovations's Interest Coverage for the quarter that ended in Dec. 2017 is calculated as

Here, for the six months ended in Dec. 2017, Allied Security Innovations's Interest Expense was $-0.11 Mil. Its Operating Income was $0.05 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.38 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2017 )/Interest Expense (Q: Dec. 2017 )
=-1*0.049/-0.112
=0.44

* 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.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 0.44 mean?
Allied Security Innovations (ADSV) has a Interest Coverage of 0.44 as of Dec. 2017. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Allied Security Innovations and its competitors.
Is Allied Security Innovations' Interest Coverage too high?
Allied Security Innovations' current Interest Coverage is 0.44. The Software industry median Interest Coverage is 24.65. Allied Security Innovations' value of 0.44 is 98.2% below this industry median.
How does Allied Security Innovations' Interest Coverage compare to VMII and MGSGF?
Allied Security Innovations' Interest Coverage of 0.44 can be compared against companies in the Software industry. The industry median Interest Coverage is 24.65. Allied Security Innovations' value of 0.44 is 98.2% below this benchmark. 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 Software company?
The median Interest Coverage among Software companies is 24.65, based on 1,707 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. Allied Security Innovations's current Interest Coverage of 0.44 is 98.2% 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 Allied Security Innovations and its competitors. For the Software industry, the median Interest Coverage is 24.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Allied Security Innovations's current Interest Coverage is 0.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Allied Security Innovations stock overvalued right now?
Allied Security Innovations (ADSV) has a current Interest Coverage of 0.44. The current Interest Coverage is 0.44 and 98.2% below the Software industry median of 24.65. 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 Allied Security Innovations (ADSV), the current Interest Coverage is 0.44 as of Dec. 2017. 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.

Allied Security Innovations Business Description

Address 224 Datura Street, West Palm Beach, FL, USA, 33401
Allied Security Innovations Inc is engaged in developing and implementing software systems for law enforcement agencies and correctional facilities. The product of the company is Compu-Capture.