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. Tiangong International Co's
Operating Income
for the
six
months ended in Dec. 2025 was €33.9 Mil. Tiangong International Co's Interest Expense for the
six
months ended in Dec. 2025 was €-10.0 Mil.
Tiangong International Co's interest coverage for the quarter that ended in Dec. 2025 was 3.38.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Tiangong International Co's Interest Coverage or its related term are showing as below:
FRA:34T1'
s Interest Coverage Range Over the Past 10 Years
Min: 1.77 Med: 2.84 Max: 5.31
Current: 2.81
FRA:34T1's Interest Coverage is ranked worse than 64.69% of 456
companies
in the Steel industry
Industry Median: 4.445
vs FRA:34T1: 2.81
Tiangong International Co (FRA:34T1) 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 .
Tiangong International Co Interest Coverage Related Terms
Tiangong International Co Interest Coverage Historical Data
* 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.
FRA:34T1 vs NUE, STLD, RS: Interest Coverage Comparison
For the Steel subindustry, Tiangong International Co'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.
Tiangong International Co Interest Coverage vs Steel Industry
For the Steel industry and Basic Materials sector, Tiangong International Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Tiangong International Co's Interest Coverage falls into.
Tiangong International Co 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:
* 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.
Tiangong International Co (FRA:34T1) has a Interest Coverage of 3.38 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Tiangong International Co and its competitors. This is 19% above median its historical median of 2.84. Over the past decade, Tiangong International Co's Interest Coverage has ranged from 1.77 to 5.31. According to the industry distribution chart, Tiangong International Co ranks #295 out of 456 companies in the Steel industry, placing it in the top 64.7%.
Is Tiangong International Co's Interest Coverage too high?
Tiangong International Co's current Interest Coverage of 3.38 is 19% above median its 10-year median of 2.84. Over the past 10 years, this metric has ranged from a low of 1.77 to a high of 5.31. The Steel industry median Interest Coverage is 4.45. Tiangong International Co's value of 3.38 is 24% below this industry median. Based on the distribution chart, Tiangong International Co ranks #295 out of 456 companies in the Steel industry, which is below the industry midpoint. Overall, Tiangong International Co has a GF Score™ of 77/100, reflecting its overall financial health beyond just this single metric.
How does Tiangong International Co's Interest Coverage compare to NUE and STLD?
According to the Steel industry distribution chart, Tiangong International Co ranks #295 out of 456 companies for Interest Coverage. This places Tiangong International Co in the lower half of its industry. The industry median Interest Coverage is 4.45. Tiangong International Co's value of 3.38 is 24% below this benchmark. Historically, Tiangong International Co's own Interest Coverage has ranged from 1.77 to 5.31 over the past decade. While the company's 10-year median is 2.84 vs. the industry median of 4.45, Tiangong International Co 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 Steel company?
The median Interest Coverage among Steel companies is 4.45, based on 456 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. Tiangong International Co's current Interest Coverage of 3.38 is 24% 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 Tiangong International Co and its competitors. For the Steel industry, the median Interest Coverage is 4.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tiangong International Co's current Interest Coverage is 3.38, which is 19% above median its own 10-year median of 2.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tiangong International Co stock overvalued right now?
Tiangong International Co (FRA:34T1) has a current Interest Coverage of 3.38. The stock's GF Value™ is €0.27, compared to a current price of €0.43 — trading 58.5% above its estimated fair value. The current Interest Coverage is 3.38, which is 19% above median its 10-year median of 2.84 and 24% below the Steel industry median of 4.45. Tiangong International Co's overall GF Score™ is 77/100 with 7 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 Tiangong International Co (FRA:34T1), the current Interest Coverage is 3.38 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 Tiangong International Co (FRA:34T1) Overvalued in 2026?
Based on GuruFocus' analysis, Tiangong International Co stock appears to be overvalued.
The current stock price of €0.43 is trading 58.5% above its estimated GF Value™ of €0.27.
Key valuation signals for FRA:34T1:
Interest Coverage: 3.38 (19% above median its 10-year median of 2.84)
GF Value™: €0.27 vs. price of €0.43 (58.5% above fair value)
Industry Position: 24% below the Steel median (#295 of 456)
No single metric tells the full story. See the FRA:34T1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tiangong International Co Ltd is engaged in the manufacturing and sales of high alloy steel, cutting tools, titanium alloy, trading of goods, and others. The reportable segments of the company are, the DS segment, which derives majority revenue, manufactures and sells materials that are used in the die set manufacturing industry; the HSS segment manufactures and sells materials that are used in the tools manufacturing industry; the cutting tools segment manufactures and sells HSS and carbide cutting tools to the tooling industry; the Titanium alloy segment manufactures and sells titanium alloys to the titanium industry; and the Others segment assembles and sells power tool kits. The company operates in PRC, North America, Europe, Asia (other than the PRC), and other regions.
77GF Score
Get the complete analysis for FRA:34T1
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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