Ecotel Communication AGFRA:E4C 56 Interest Coverage is 9.90 as of Mar. 2026, which is 2% below its 10-year median of 10.14. GuruFocus rates FRA:E4C with a GF Score™ of 56/100 and a GF Value™ of €14.73. The stock has 3 warning signs investors should review. Among 284 Telecommunication Services companies, Ecotel Communication AG ranks worse than 352112.32% 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. Ecotel Communication AG's
Operating Income
for the
three
months ended in Mar. 2026 was €0.6 Mil. Ecotel Communication AG's Interest Expense for the
three
months ended in Mar. 2026 was €-0.1 Mil.
Ecotel Communication AG's interest coverage for the quarter that ended in Mar. 2026 was 9.90.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Ecotel Communication AG's Interest Coverage or its related term are showing as below:
FRA:E4C's Interest Coverage is not ranked *
in the Telecommunication Services industry.
Industry Median: 4.685 * Ranked among companies with meaningful Interest Coverage only.
Ecotel Communication AG (FRA:E4C) 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 .
Ecotel Communication AG Interest Coverage Related Terms
Ecotel Communication AG Interest Coverage Historical Data
* Premium members only.
The historical data trend for Ecotel Communication AG'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.
FRA:E4C vs TMUS, VZ, T: Interest Coverage Comparison
For the Telecom Services subindustry, Ecotel Communication AG'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.
Ecotel Communication AG Interest Coverage vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Ecotel Communication AG's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Ecotel Communication AG's Interest Coverage falls into.
Ecotel Communication AG 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.
Ecotel Communication AG (FRA:E4C) has a Interest Coverage of 9.90 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Ecotel Communication AG and its competitors. This is near median its historical median of 10.14. According to the industry distribution chart, Ecotel Communication AG ranks #999999 out of 284 companies in the Telecommunication Services industry.
Is Ecotel Communication AG's Interest Coverage too high?
Ecotel Communication AG's current Interest Coverage of 9.90 is near median its 10-year median of 10.14. The Telecommunication Services industry median Interest Coverage is 4.69. Ecotel Communication AG's value of 9.90 is 111.3% above this industry median. Based on the distribution chart, Ecotel Communication AG ranks #999999 out of 284 companies in the Telecommunication Services industry, which is in the bottom quartile relative to peers. Overall, Ecotel Communication AG has a GF Score™ of 56/100, reflecting its overall financial health beyond just this single metric.
How does Ecotel Communication AG's Interest Coverage compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Ecotel Communication AG ranks #999999 out of 284 companies for Interest Coverage. This places Ecotel Communication AG in the lower half of its industry. The industry median Interest Coverage is 4.69. Ecotel Communication AG's value of 9.90 is 111.3% above this benchmark. While the company's 10-year median is 10.14 vs. the industry median of 4.69, Ecotel Communication AG 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 a Telecommunication Services company?
The median Interest Coverage among Telecommunication Services companies is 4.69, based on 284 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. Ecotel Communication AG's current Interest Coverage of 9.90 is 111.3% 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 Ecotel Communication AG and its competitors. For the Telecommunication Services industry, the median Interest Coverage is 4.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ecotel Communication AG's current Interest Coverage is 9.90, which is near median its own 10-year median of 10.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ecotel Communication AG stock overvalued right now?
Ecotel Communication AG (FRA:E4C) has a current Interest Coverage of 9.90. The stock's GF Value™ is €14.73, compared to a current price of €6.80 — trading 53.8% below its estimated fair value. The current Interest Coverage is 9.90, which is near median its 10-year median of 10.14 and 111.3% above the Telecommunication Services industry median of 4.69. Ecotel Communication AG's overall GF Score™ is 56/100 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 Ecotel Communication AG (FRA:E4C), the current Interest Coverage is 9.90 as of Mar. 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 Ecotel Communication AG (FRA:E4C) Overvalued in 2026?
Based on GuruFocus' analysis, Ecotel Communication AG stock appears to be undervalued.
The current stock price of €6.80 is trading 53.8% below its estimated GF Value™ of €14.73.
Key valuation signals for FRA:E4C:
Interest Coverage: 9.90 (near median its 10-year median of 10.14)
GF Value™: €14.73 vs. price of €6.80 (53.8% below fair value)
Industry Position: 111.3% above the Telecommunication Services median (#999999 of 284)
No single metric tells the full story. See the FRA:E4C stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ecotel Communication AG is a telecommunication company operating in Germany that provides a solution to customers involved in the IT and telecommunication industry. The company operates under business segments that is Ecotel Business customers, Ecotel Wholesale, and Easybell, Majority of the firm's revenue comes from Ecotel Business customers which offers business customers throughout Germany an integrated product portfolio of voice and data services (ICT solutions). The firm's sales are mostly generated in Germany.
56GF Score
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