GTIM (Good Times Restaurants) Interest Coverage: 13.44 (As of Mar. 2026) — 41% Above Median


GTIM Good Times Restaurants Inc GTIM
53 GF Score
Price $1.38
GF Value $2.65
Valuation Possible Value Trap
! 5 Warning Signs
View Full Analysis

What is Good Times Restaurants Interest Coverage?

Good Times Restaurants GTIM 53 Interest Coverage is 13.44 as of Mar. 2026, which is 41% above its 10-year median of 9.51. GuruFocus rates GTIM with a GF Score™ of 53/100 and a GF Value™ of $2.65 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 262 Restaurants companies, Good Times Restaurants ranks better than 53.05% 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. Good Times Restaurants's Operating Income for the three months ended in Mar. 2026 was $0.5 Mil. Good Times Restaurants's Interest Expense for the three months ended in Mar. 2026 was $-0.0 Mil. Good Times Restaurants's interest coverage for the quarter that ended in Mar. 2026 was 13.44. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Good Times Restaurants's Interest Coverage or its related term are showing as below:

GTIM' s Interest Coverage Range Over the Past 10 Years
Min: 1.38   Med: 9.51   Max: 41.96
Current: 7.07


GTIM's Interest Coverage is ranked better than
53.05% of 262 companies
in the Restaurants industry
Industry Median: 6.45 vs GTIM: 7.07

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


Good Times Restaurants  (NAS:GTIM) 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 .


Good Times Restaurants Interest Coverage Related Terms


Good Times Restaurants Interest Coverage Historical Data

* Premium members only.

The historical data trend for Good Times Restaurants'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.

Good Times Restaurants Interest Coverage Chart

Good Times Restaurants Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 28.35 41.96 38.40 13.98 2.53

Good Times Restaurants 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 24.10 0.00 6.16 13.44

GTIM vs CCHH, MHGU, PETZ: Interest Coverage Comparison

For the Restaurants subindustry, Good Times Restaurants'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.


Good Times Restaurants Interest Coverage vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Good Times Restaurants's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Good Times Restaurants's Interest Coverage falls into.


GTIM
53GF Score
Good Times Restaurants Inc GTIM
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Good Times Restaurants 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.

Good Times Restaurants's Interest Coverage for the fiscal year that ended in Sep. 2025 is calculated as

Here, for the fiscal year that ended in Sep. 2025, Good Times Restaurants's Interest Expense was $-0.2 Mil. Its Operating Income was $0.5 Mil. And its Long-Term Debt & Capital Lease Obligation was $35.5 Mil.

Interest Coverage=-1* Operating Income (A: Sep. 2025 )/Interest Expense (A: Sep. 2025 )
=-1*0.496/-0.196
=2.53

Good Times Restaurants's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Good Times Restaurants's Interest Expense was $-0.0 Mil. Its Operating Income was $0.5 Mil. And its Long-Term Debt & Capital Lease Obligation was $32.0 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*0.484/-0.036
=13.44

* 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 13.44 mean?
Good Times Restaurants (GTIM) has a Interest Coverage of 13.44 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Good Times Restaurants and its competitors. This is 41% above median its historical median of 9.51. Over the past decade, Good Times Restaurants' Interest Coverage has ranged from 1.38 to 41.96. According to the industry distribution chart, Good Times Restaurants ranks #123 out of 262 companies in the Restaurants industry, placing it in the top 46.9%.
Is Good Times Restaurants' Interest Coverage too high?
Good Times Restaurants' current Interest Coverage of 13.44 is 41% above median its 10-year median of 9.51. Over the past 10 years, this metric has ranged from a low of 1.38 to a high of 41.96. The Restaurants industry median Interest Coverage is 6.45. Good Times Restaurants' value of 13.44 is 108.4% above this industry median. Based on the distribution chart, Good Times Restaurants ranks #123 out of 262 companies in the Restaurants industry, which is above the industry midpoint. Overall, Good Times Restaurants has a GF Score™ of 53/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Good Times Restaurants' Interest Coverage compare to CCHH and MHGU?
According to the Restaurants industry distribution chart, Good Times Restaurants ranks #123 out of 262 companies for Interest Coverage. This puts Good Times Restaurants in the upper half of its industry. The industry median Interest Coverage is 6.45. Good Times Restaurants' value of 13.44 is 108.4% above this benchmark. Historically, Good Times Restaurants' own Interest Coverage has ranged from 1.38 to 41.96 over the past decade. While the company's 10-year median is 9.51 vs. the industry median of 6.45, Good Times Restaurants 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 Restaurants company?
The median Interest Coverage among Restaurants companies is 6.45, based on 262 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. Good Times Restaurants's current Interest Coverage of 13.44 is 108.4% 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 Good Times Restaurants and its competitors. For the Restaurants industry, the median Interest Coverage is 6.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Good Times Restaurants's current Interest Coverage is 13.44, which is 41% above median its own 10-year median of 9.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Good Times Restaurants stock overvalued right now?
Based on GuruFocus' analysis, Good Times Restaurants (GTIM) is currently considered Possible Value Trap. The stock's GF Value™ is $2.65, compared to a current price of $1.38 — trading 47.9% below its estimated fair value. The current Interest Coverage is 13.44, which is 41% above median its 10-year median of 9.51 and 108.4% above the Restaurants industry median of 6.45. Good Times Restaurants' overall GF Score™ is 53/100 with 5 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 Good Times Restaurants (GTIM), the current Interest Coverage is 13.44 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 Good Times Restaurants (GTIM) Overvalued in 2026?

Based on GuruFocus' analysis, Good Times Restaurants stock appears to be undervalued. The current stock price of $1.38 is trading 47.9% below its estimated GF Value™ of $2.65. GuruFocus considers Good Times Restaurants to be Possible Value Trap.

Key valuation signals for GTIM:

  • Interest Coverage: 13.44 (41% above median its 10-year median of 9.51)
  • GF Value™: $2.65 vs. price of $1.38 (47.9% below fair value)
  • GF Score™: 53/100 with 5 warning signs
  • Industry Position: 108.4% above the Restaurants median (#123 of 262)

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


Good Times Restaurants Business Description

Address 651 Corporate Circle, No. 200, Golden, CO, USA, 80401
Good Times Restaurants Inc is engaged in developing, owning, operating, and franchising hamburger-oriented drive-through restaurants. It operates through two segments: Good Times Burgers and Frozen Custard restaurants, which operate in the quick-service drive-through dining industry; and Bad Daddy's Burger Bar restaurants, which operate in the full-service upscale casual dining industry. The company generates maximum revenue from the Bad Daddy's Burger Bar restaurants segment. Its menu categories include burgers, chicken, frozen custard; slides and drinks.
53GF Score

Get the complete analysis for GTIM

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

$1.38
Price
$2.65
GF Value