CICN (SMS Alternatives) Interest Coverage: 0 (At Loss) (As of Jun. 2020)

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CICN SMS Alternatives Inc CICN
12 GF Score
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What is SMS Alternatives Interest Coverage?

SMS Alternatives CICN 12 Interest Coverage is 0 (At Loss) as of Jun. 2020. GuruFocus rates CICN with a GF Score™ of 12/100.

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. SMS Alternatives's Operating Income for the three months ended in Jun. 2020 was $-0.50 Mil. SMS Alternatives's Interest Expense for the three months ended in Jun. 2020 was $-0.08 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

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


CICN's Interest Coverage is not ranked *
in the Software industry.
Industry Median: 24.75
* 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.


SMS Alternatives  (OTCPK:CICN) 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 .


SMS Alternatives Interest Coverage Related Terms


SMS Alternatives Interest Coverage Historical Data

* Premium members only.

The historical data trend for SMS Alternatives'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.

SMS Alternatives Interest Coverage Chart

SMS Alternatives Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 0.00 0.00 0.00

SMS Alternatives Quarterly Data
Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20
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 0.00 2.42 0.00 0.00 0.00

CICN vs INTV, IONI, VGRBF: Interest Coverage Comparison

For the Software - Application subindustry, SMS Alternatives'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.


SMS Alternatives Interest Coverage vs Software Industry

For the Software industry and Technology sector, SMS Alternatives's Interest Coverage distribution charts can be found below:

* The bar in red indicates where SMS Alternatives's Interest Coverage falls into.


CICN
12GF Score
SMS Alternatives Inc CICN
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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SMS Alternatives 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.

SMS Alternatives's Interest Coverage for the fiscal year that ended in Dec. 2019 is calculated as

Here, for the fiscal year that ended in Dec. 2019, SMS Alternatives's Interest Expense was $-0.26 Mil. Its Operating Income was $-1.35 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.46 Mil.

SMS Alternatives did not have earnings to cover the interest expense.

SMS Alternatives's Interest Coverage for the quarter that ended in Jun. 2020 is calculated as

Here, for the three months ended in Jun. 2020, SMS Alternatives's Interest Expense was $-0.08 Mil. Its Operating Income was $-0.50 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.16 Mil.

SMS Alternatives 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.

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 (At Loss) mean?
SMS Alternatives (CICN) has a Interest Coverage of 0 (At Loss) as of Jun. 2020. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on SMS Alternatives and its competitors.
Is SMS Alternatives' Interest Coverage too high?
SMS Alternatives' current Interest Coverage is 0 (At Loss). Overall, SMS Alternatives has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does SMS Alternatives' Interest Coverage compare to INTV and IONI?
SMS Alternatives' Interest Coverage of 0 (At Loss) can be compared against companies in the Software industry. The industry median Interest Coverage is 24.75. 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 24.75, based on 1,718 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 SMS Alternatives and its competitors. For the Software industry, the median Interest Coverage is 24.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SMS Alternatives'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 SMS Alternatives stock overvalued right now?
SMS Alternatives (CICN) has a current Interest Coverage of 0 (At Loss). The current Interest Coverage is 0 (At Loss). SMS Alternatives' overall GF Score™ is 12/100. 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 SMS Alternatives (CICN), the current Interest Coverage is 0 (At Loss) as of Jun. 2020. 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.

SMS Alternatives Business Description

Address 8000 Regency Parkway, Suite 542, Cary, NC, USA, 27518
SMS Alternatives Inc formerly Cicero Inc provides desktop activity intelligence and improvement software that helps organizations isolate issues and automates employee tasks in the contact center and back office. It provides a combination of application and process integration, automation and desktop analytics capabilities, technical support, training and consulting services. Geographically, it operates in the United States, and Europe. The company generates revenue from three categories: software, maintenance, and services; out of which a vast majority is earned from Software within the United States.
12GF Score

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

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