Compagnie Financiere Tradition (CHIX:CFTZ) Interest Coverage: 16.17 (As of Dec. 2025) — 78% Above Median

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CHIX:CFTZ Compagnie Financiere Tradition SA CHIX:CFTZ
80 GF Score
Price CHF320.00
GF Value CHF169.12
Valuation Significantly Overvalued
! 3 Warning Signs
View Full Analysis

What is Compagnie Financiere Tradition Interest Coverage?

Compagnie Financiere Tradition CHIX:CFTZ +1.75% 80 Interest Coverage is 16.17 as of Dec. 2025, which is 78% above its 10-year median of 9.07. GuruFocus rates CHIX:CFTZ with a GF Score™ of 80/100 and a GF Value™ of CHF169.12 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 434 Capital Markets companies, Compagnie Financiere Tradition ranks worse than 51.61% 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. Compagnie Financiere Tradition's Operating Income for the six months ended in Dec. 2025 was CHF73 Mil. Compagnie Financiere Tradition's Interest Expense for the six months ended in Dec. 2025 was CHF-5 Mil. Compagnie Financiere Tradition's interest coverage for the quarter that ended in Dec. 2025 was 16.17. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Compagnie Financiere Tradition's Interest Coverage or its related term are showing as below:

CHIX:CFTz' s Interest Coverage Range Over the Past 10 Years
Min: 6.08   Med: 9.07   Max: 17.51
Current: 17.51


CHIX:CFTz's Interest Coverage is ranked worse than
51.61% of 434 companies
in the Capital Markets industry
Industry Median: 20.55 vs CHIX:CFTz: 17.51

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


Compagnie Financiere Tradition  (CHIX:CFTz) 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 .


Compagnie Financiere Tradition Interest Coverage Related Terms


Compagnie Financiere Tradition Interest Coverage Historical Data

* Premium members only.

The historical data trend for Compagnie Financiere Tradition'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.

Compagnie Financiere Tradition Interest Coverage Chart

Compagnie Financiere Tradition 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 6.24 9.24 13.74 16.39 17.51

Compagnie Financiere Tradition Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 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 12.16 18.47 14.48 18.79 16.17

CHIX:CFTZ vs MS, GS, SCHW: Interest Coverage Comparison

For the Capital Markets subindustry, Compagnie Financiere Tradition'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.


Compagnie Financiere Tradition Interest Coverage vs Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Compagnie Financiere Tradition's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Compagnie Financiere Tradition's Interest Coverage falls into.


CHIX:CFTZ
80GF Score
Compagnie Financiere Tradition SA CHIX:CFTZ
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Compagnie Financiere Tradition 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.

Compagnie Financiere Tradition'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, Compagnie Financiere Tradition's Interest Expense was CHF-9 Mil. Its Operating Income was CHF161 Mil. And its Long-Term Debt & Capital Lease Obligation was CHF231 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*161.493/-9.225
=17.51

Compagnie Financiere Tradition's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the six months ended in Dec. 2025, Compagnie Financiere Tradition's Interest Expense was CHF-5 Mil. Its Operating Income was CHF73 Mil. And its Long-Term Debt & Capital Lease Obligation was CHF231 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*73.283/-4.531
=16.17

* 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 16.17 mean?
Compagnie Financiere Tradition (CHIX:CFTZ) has a Interest Coverage of 16.17 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Compagnie Financiere Tradition and its competitors. This is 78% above median its historical median of 9.07. Over the past decade, Compagnie Financiere Tradition's Interest Coverage has ranged from 6.08 to 17.51. According to the industry distribution chart, Compagnie Financiere Tradition ranks #224 out of 434 companies in the Capital Markets industry, placing it in the top 51.6%.
Is Compagnie Financiere Tradition's Interest Coverage too high?
Compagnie Financiere Tradition's current Interest Coverage of 16.17 is 78% above median its 10-year median of 9.07. Over the past 10 years, this metric has ranged from a low of 6.08 to a high of 17.51. The Capital Markets industry median Interest Coverage is 20.55. Compagnie Financiere Tradition's value of 16.17 is 21.3% below this industry median. Based on the distribution chart, Compagnie Financiere Tradition ranks #224 out of 434 companies in the Capital Markets industry, which is below the industry midpoint. Overall, Compagnie Financiere Tradition has a GF Score™ of 80/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Compagnie Financiere Tradition's Interest Coverage compare to MS and GS?
According to the Capital Markets industry distribution chart, Compagnie Financiere Tradition ranks #224 out of 434 companies for Interest Coverage. This places Compagnie Financiere Tradition in the lower half of its industry. The industry median Interest Coverage is 20.55. Compagnie Financiere Tradition's value of 16.17 is 21.3% below this benchmark. Historically, Compagnie Financiere Tradition's own Interest Coverage has ranged from 6.08 to 17.51 over the past decade. While the company's 10-year median is 9.07 vs. the industry median of 20.55, Compagnie Financiere Tradition has consistently been below 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 a Capital Markets company?
The median Interest Coverage among Capital Markets companies is 20.55, based on 434 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. Compagnie Financiere Tradition's current Interest Coverage of 16.17 is 21.3% 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 Compagnie Financiere Tradition and its competitors. For the Capital Markets industry, the median Interest Coverage is 20.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Compagnie Financiere Tradition's current Interest Coverage is 16.17, which is 78% above median its own 10-year median of 9.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Compagnie Financiere Tradition stock overvalued right now?
Based on GuruFocus' analysis, Compagnie Financiere Tradition (CHIX:CFTZ) is currently considered Significantly Overvalued. The stock's GF Value™ is CHF169.12, compared to a current price of CHF320.00 — trading 89.2% above its estimated fair value. The current Interest Coverage is 16.17, which is 78% above median its 10-year median of 9.07 and 21.3% below the Capital Markets industry median of 20.55. Compagnie Financiere Tradition's overall GF Score™ is 80/100 with 3 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 Compagnie Financiere Tradition (CHIX:CFTZ), the current Interest Coverage is 16.17 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 Compagnie Financiere Tradition (CHIX:CFTZ) Overvalued in 2026?

Based on GuruFocus' analysis, Compagnie Financiere Tradition stock appears to be overvalued. The current stock price of CHF320.00 is trading 89.2% above its estimated GF Value™ of CHF169.12. GuruFocus considers Compagnie Financiere Tradition to be Significantly Overvalued.

Key valuation signals for CHIX:CFTZ:

  • Interest Coverage: 16.17 (78% above median its 10-year median of 9.07)
  • GF Value™: CHF169.12 vs. price of CHF320.00 (89.2% above fair value)
  • GF Score™: 80/100 with 3 warning signs
  • Industry Position: 21.3% below the Capital Markets median (#224 of 434)

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


Compagnie Financiere Tradition Business Description

Address 11, Rue de Langallerie, Lausanne, CHE, 1003
Compagnie Financiere Tradition SA is a Switzerland-based interdealer broking firm. It acts as a marketplace and an intermediary and facilitates transactions between financial institutions and other professional traders in the capital markets. Its Financial and non-financial products include bonds, interest rates, index futures, currency and credit derivatives, equities, precious metals, energy and environmental products, and others. Its geographical segments are Europe, the Middle East and Africa; the Americas and Asia-Pacific.
80GF Score

Get the complete analysis for CHIX:CFTZ

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

CHF320.00
Price
CHF169.12
GF Value