AVVOF (Avio SpA) Interest Coverage: 34.08 (As of Dec. 2025) — 133% Above Median


AVVOF Avio SpA AVVOF
53 GF Score
Price $34.87
GF Value $15.96
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Avio SpA Interest Coverage?

Avio SpA AVVOF -4.41% 53 Interest Coverage is 34.08 as of Dec. 2025, which is 133% above its 10-year median of 14.61. GuruFocus rates AVVOF with a GF Score™ of 53/100 and a GF Value™ of $15.96 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 241 Aerospace & Defense companies, Avio SpA ranks better than 86.72% 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. Avio SpA's Operating Income for the three months ended in Dec. 2025 was $12.1 Mil. Avio SpA's Interest Expense for the three months ended in Dec. 2025 was $-0.4 Mil. Avio SpA's interest coverage for the quarter that ended in Dec. 2025 was 34.08. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Avio SpA has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for Avio SpA's Interest Coverage or its related term are showing as below:

AVVOF' s Interest Coverage Range Over the Past 10 Years
Min: 3.08   Med: 14.61   Max: 84.43
Current: 84.43


AVVOF's Interest Coverage is ranked better than
86.72% of 241 companies
in the Aerospace & Defense industry
Industry Median: 8.69 vs AVVOF: 84.43

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


Avio SpA  (OTCPK:AVVOF) 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 .


Avio SpA Interest Coverage Related Terms


Avio SpA Interest Coverage Historical Data

* Premium members only.

The historical data trend for Avio SpA'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.

Avio SpA Interest Coverage Chart

Avio SpA Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.62 5.23 3.35 3.08 26.79

Avio SpA Quarterly Data
Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
Interest Coverage 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 4.91 No Debt N/A 0.00 34.08

AVVOF vs GE, RTX, BA: Interest Coverage Comparison

For the Aerospace & Defense subindustry, Avio SpA'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.


Avio SpA Interest Coverage vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Avio SpA's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Avio SpA's Interest Coverage falls into.


AVVOF
53GF Score
Avio SpA AVVOF
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Avio SpA 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.

Avio SpA's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Avio SpA's Interest Expense was $-0.4 Mil. Its Operating Income was $10.4 Mil. And its Long-Term Debt & Capital Lease Obligation was $8.0 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*10.393/-0.388
=26.79

Avio SpA's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the three months ended in Dec. 2025, Avio SpA's Interest Expense was $-0.4 Mil. Its Operating Income was $12.1 Mil. And its Long-Term Debt & Capital Lease Obligation was $8.0 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*12.131/-0.356
=34.08

* 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 34.08 mean?
Avio SpA (AVVOF) has a Interest Coverage of 34.08 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Avio SpA and its competitors. This is 133% above median its historical median of 14.61. Over the past decade, Avio SpA's Interest Coverage has ranged from 3.08 to 84.43. According to the industry distribution chart, Avio SpA ranks #32 out of 241 companies in the Aerospace & Defense industry, placing it in the top 13.3%.
Is Avio SpA's Interest Coverage too high?
Avio SpA's current Interest Coverage of 34.08 is 133% above median its 10-year median of 14.61. Over the past 10 years, this metric has ranged from a low of 3.08 to a high of 84.43. The Aerospace & Defense industry median Interest Coverage is 8.69. Avio SpA's value of 34.08 is 292.2% above this industry median. Based on the distribution chart, Avio SpA ranks #32 out of 241 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Avio SpA has a GF Score™ of 53/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Avio SpA's Interest Coverage compare to GE and RTX?
According to the Aerospace & Defense industry distribution chart, Avio SpA ranks #32 out of 241 companies for Interest Coverage. This places Avio SpA in the top 13% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 8.69. Avio SpA's value of 34.08 is 292.2% above this benchmark. Historically, Avio SpA's own Interest Coverage has ranged from 3.08 to 84.43 over the past decade. While the company's 10-year median is 14.61 vs. the industry median of 8.69, Avio SpA has consistently been above 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 Aerospace & Defense company?
The median Interest Coverage among Aerospace & Defense companies is 8.69, based on 241 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. Avio SpA's current Interest Coverage of 34.08 is 292.2% above 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 Avio SpA and its competitors. For the Aerospace & Defense industry, the median Interest Coverage is 8.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Avio SpA's current Interest Coverage is 34.08, which is 133% above median its own 10-year median of 14.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Avio SpA stock overvalued right now?
Based on GuruFocus' analysis, Avio SpA (AVVOF) is currently considered Significantly Overvalued. The stock's GF Value™ is $15.96, compared to a current price of $34.87 — trading 118.5% above its estimated fair value. The current Interest Coverage is 34.08, which is 133% above median its 10-year median of 14.61 and 292.2% above the Aerospace & Defense industry median of 8.69. Avio SpA's overall GF Score™ is 53/100 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 Avio SpA (AVVOF), the current Interest Coverage is 34.08 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 Avio SpA (AVVOF) Overvalued in 2026?

Based on GuruFocus' analysis, Avio SpA stock appears to be overvalued. The current stock price of $34.87 is trading 118.5% above its estimated GF Value™ of $15.96. GuruFocus considers Avio SpA to be Significantly Overvalued.

Key valuation signals for AVVOF:

  • Interest Coverage: 34.08 (133% above median its 10-year median of 14.61)
  • GF Value™: $15.96 vs. price of $34.87 (118.5% above fair value)
  • GF Score™: 53/100 with 6 warning signs
  • Industry Position: 292.2% above the Aerospace & Defense median (#32 of 241)

No single metric tells the full story. See the AVVOF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Avio SpA Business Description

Address Via Latina, snc (SP 600 Ariana km 5,2, Colleferro, Rome, ITA, 00034
Avio SpA is an international group engaged in the construction and development of space launchers. The company's core operations are design, development and production of solid and liquid propellant propulsion systems for space launchers; design, development and production of solid propellant propulsion systems for tactical missiles; development, integration and supply of complete light space launchers (VEGA); research and development of new low environmental impact propulsion systems and of satellite tracking control engines. The Group mainly operates in EU countries (Italy, France), the USA, and French Guiana.
53GF Score

Get the complete analysis for AVVOF

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$34.87
Price
$15.96
GF Value