Key Tronic (FRA:KT1) Interest Coverage: 0 (At Loss) (As of Mar. 2026)


FRA:KT1 Key Tronic Corp FRA:KT1
54 GF Score
Price €3.66
GF Value €2.25
Valuation Significantly Overvalued
! 9 Warning Signs
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What is Key Tronic Interest Coverage?

Key Tronic FRA:KT1 +1.10% 54 Interest Coverage is 0 (At Loss) as of Mar. 2026. GuruFocus rates FRA:KT1 with a GF Score™ of 54/100 and a GF Value™ of €2.25 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 1,672 Hardware companies, Key Tronic ranks worse than 59808.55% 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. Key Tronic's Operating Income for the three months ended in Mar. 2026 was €-0.8 Mil. Key Tronic's Interest Expense for the three months ended in Mar. 2026 was €-2.1 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 Key Tronic's Interest Coverage or its related term are showing as below:


FRA:KT1's Interest Coverage is not ranked *
in the Hardware industry.
Industry Median: 13.675
* 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.


Key Tronic  (FRA:KT1) 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 .


Key Tronic Interest Coverage Related Terms


Key Tronic Interest Coverage Historical Data

* Premium members only.

The historical data trend for Key Tronic'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.

Key Tronic Interest Coverage Chart

Key Tronic Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.64 1.72 1.20 0.53 0.04

Key Tronic Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 0.00 0.00 0.00 0.00

FRA:KT1 vs TBIIF, UAVS, MCRP: Interest Coverage Comparison

For the Computer Hardware subindustry, Key Tronic'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.


Key Tronic Interest Coverage vs Hardware Industry

For the Hardware industry and Technology sector, Key Tronic's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Key Tronic's Interest Coverage falls into.


FRA:KT1
54GF Score
Key Tronic Corp FRA:KT1
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Key Tronic 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.

Key Tronic's Interest Coverage for the fiscal year that ended in Jun. 2025 is calculated as

Here, for the fiscal year that ended in Jun. 2025, Key Tronic's Interest Expense was €-10.9 Mil. Its Operating Income was €0.5 Mil. And its Long-Term Debt & Capital Lease Obligation was €91.7 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2025 )/Interest Expense (A: Jun. 2025 )
=-1*0.487/-10.857
=0.04

Key Tronic's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Key Tronic's Interest Expense was €-2.1 Mil. Its Operating Income was €-0.8 Mil. And its Long-Term Debt & Capital Lease Obligation was €97.9 Mil.

Key Tronic 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?
Key Tronic (FRA:KT1) has a Interest Coverage of 0 (At Loss) as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Key Tronic and its competitors. According to the industry distribution chart, Key Tronic ranks #999999 out of 1672 companies in the Hardware industry.
Is Key Tronic's Interest Coverage too high?
Key Tronic's current Interest Coverage is 0 (At Loss). Based on the distribution chart, Key Tronic ranks #999999 out of 1672 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, Key Tronic has a GF Score™ of 54/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Key Tronic's Interest Coverage compare to TBIIF and UAVS?
According to the Hardware industry distribution chart, Key Tronic ranks #999999 out of 1672 companies for Interest Coverage. This places Key Tronic in the lower half of its industry. The industry median Interest Coverage is 13.68. 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 Hardware company?
The median Interest Coverage among Hardware companies is 13.68, based on 1,672 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 Key Tronic and its competitors. For the Hardware industry, the median Interest Coverage is 13.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Key Tronic'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 Key Tronic stock overvalued right now?
Based on GuruFocus' analysis, Key Tronic (FRA:KT1) is currently considered Significantly Overvalued. The stock's GF Value™ is €2.25, compared to a current price of €3.66 — trading 62.7% above its estimated fair value. The current Interest Coverage is 0 (At Loss). Key Tronic's overall GF Score™ is 54/100 with 9 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 Key Tronic (FRA:KT1), the current Interest Coverage is 0 (At Loss) 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 Key Tronic (FRA:KT1) Overvalued in 2026?

Based on GuruFocus' analysis, Key Tronic stock appears to be overvalued. The current stock price of €3.66 is trading 62.7% above its estimated GF Value™ of €2.25. GuruFocus considers Key Tronic to be Significantly Overvalued.

Key valuation signals for FRA:KT1:

  • Interest Coverage: 0 (At Loss)
  • GF Value™: €2.25 vs. price of €3.66 (62.7% above fair value)
  • GF Score™: 54/100 with 9 warning signs

No single metric tells the full story. See the FRA:KT1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Key Tronic Business Description

Other Exchanges KTCC:USA
Address 4424 North Sullivan Road, Spokane Valley, WA, USA, 99216
Key Tronic Corporation provides electronic manufacturing services, including engineering, materials management, manufacturing and assembly, in-house testing, and distribution to various countries. The company serves diverse industries such as pest control, personal protection, air purification, automotive, medical technology, and utilities inspection equipment. Its primary services include integrated electronic and mechanical engineering, precision plastic molding, sheet metal fabrication, printed circuit board (PCB) and complete product assembly. Key Tronic operates manufacturing facilities in the United States, Vietnam, and Mexico, recently expanding with a new facility in Arkansas. Revenue is generated mainly through contract manufacturing and service agreement.
54GF Score

Get the complete analysis for FRA:KT1

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

€3.66
Price
€2.25
GF Value