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Cebu AirCEBUY 63 Interest Coverage is 0 (At Loss) as of Jun. 2026. GuruFocus rates CEBUY with a GF Score™ of 63/100 and a GF Value™ of $4.26 (Possible Value Trap). The stock has 10 warning signs investors should review. Among 847 Transportation companies, Cebu Air ranks worse than 96.69% 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. Cebu Air's
Operating Income
for the
three
months ended in Jun. 2026 was $-44 Mil. Cebu Air's Interest Expense for the
three
months ended in Jun. 2026 was $-33 Mil.
did not have earnings to cover the interest expense.
The higher the ratio, the stronger the company's financial strength is.
Warning Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Cebu Air Incs earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.
The historical rank and industry rank for Cebu Air's Interest Coverage or its related term are showing as below:
CEBUY'
s Interest Coverage Range Over the Past 10 Years
Min: 0.49 Med: 3.35 Max: 10.47
Current: 0.49
CEBUY's Interest Coverage is ranked worse than 96.69% of 847
companies
in the Transportation industry
Industry Median: 5.76
vs CEBUY: 0.49
Cebu Air (OTCPK:CEBUY) 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 .
Cebu Air Interest Coverage Related Terms
Cebu Air Interest Coverage Historical Data
* Premium members only.
The historical data trend for Cebu Air'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.
CEBUY vs DAL, UAL, LUV: Interest Coverage Comparison
For the Airlines subindustry, Cebu Air'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.
Cebu Air Interest Coverage vs Transportation Industry
For the Transportation industry and Industrials sector, Cebu Air's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Cebu Air'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:
Cebu Air did not have earnings to cover the 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.
What does a Interest Coverage of 0 (At Loss) mean?
Cebu Air (CEBUY) has a Interest Coverage of 0 (At Loss) as of Jun. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Cebu Air and its competitors. Over the past decade, Cebu Air's Interest Coverage has ranged from 0.49 to 10.47. According to the industry distribution chart, Cebu Air ranks #819 out of 847 companies in the Transportation industry, placing it in the top 96.7%.
Is Cebu Air's Interest Coverage too high?
Cebu Air's current Interest Coverage is 0 (At Loss). Over the past 10 years, this metric has ranged from a low of 0.49 to a high of 10.47. Based on the distribution chart, Cebu Air ranks #819 out of 847 companies in the Transportation industry, which is in the bottom quartile relative to peers. Overall, Cebu Air has a GF Score™ of 63/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Cebu Air's Interest Coverage compare to DAL and UAL?
According to the Transportation industry distribution chart, Cebu Air ranks #819 out of 847 companies for Interest Coverage. This places Cebu Air in the lower half of its industry. The industry median Interest Coverage is 5.76. Historically, Cebu Air's own Interest Coverage has ranged from 0.49 to 10.47 over the past decade. 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 Transportation company?
The median Interest Coverage among Transportation companies is 5.76, based on 847 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. 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 Cebu Air and its competitors. For the Transportation industry, the median Interest Coverage is 5.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cebu Air's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cebu Air stock overvalued right now?
Based on GuruFocus' analysis, Cebu Air (CEBUY) is currently considered Possible Value Trap. The stock's GF Value™ is $4.26, compared to a current price of $2.60 — trading 39% below its estimated fair value. The current Interest Coverage is 0 (At Loss). Cebu Air's overall GF Score™ is 63/100 with 10 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 Cebu Air (CEBUY), the current Interest Coverage is 0 (At Loss) as of Jun. 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 Cebu Air (CEBUY) Overvalued in 2026?
Based on GuruFocus' analysis, Cebu Air stock appears to be undervalued.
The current stock price of $2.60 is trading 39% below its estimated GF Value™ of $4.26.
GuruFocus considers Cebu Air to be Possible Value Trap.
Key valuation signals for CEBUY:
Interest Coverage: 0 (At Loss)
GF Value™: $4.26 vs. price of $2.60 (39% below fair value)
No single metric tells the full story. See the CEBUY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cebu Air Inc is a carrier in the Philippine air transportation industry. It has two reportable operating segments, has three reportable operating segments, which is the airline business (Parent Company, CEBGO and AirSWIFT), line, light and base maintenance business (A-Plus) and ground handling business (1Aviation). The revenue of the company was mainly derived from rendering transportation services, line, light and base maintenance services and ground handling services.
63GF Score
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