Arcontech GroupLSE:ARC 50 Interest Coverage is 16.56 as of Dec. 2025, which is 84% below its 10-year median of 103.32. GuruFocus rates LSE:ARC with a GF Score™ of 50/100 and a GF Value™ of £0.87 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 1,707 Software companies, Arcontech Group ranks worse than 56.12% 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. Arcontech Group's
Operating Income
for the
six
months ended in Dec. 2025 was £0.30 Mil. Arcontech Group's Interest Expense for the
six
months ended in Dec. 2025 was £-0.02 Mil.
Arcontech Group's interest coverage for the quarter that ended in Dec. 2025 was 16.56.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Arcontech Group's Interest Coverage or its related term are showing as below:
LSE:ARC'
s Interest Coverage Range Over the Past 10 Years
Min: 18.24 Med: 103.32 Max: No Debt
Current: 18.24
LSE:ARC's Interest Coverage is ranked worse than 56.12% of 1707
companies
in the Software industry
Industry Median: 24.65
vs LSE:ARC: 18.24
Arcontech Group (LSE:ARC) 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 .
Arcontech Group Interest Coverage Related Terms
Arcontech Group Interest Coverage Historical Data
* Premium members only.
The historical data trend for Arcontech Group'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.
LSE:ARC vs CRM, SHOP, UBER: Interest Coverage Comparison
For the Software - Application subindustry, Arcontech Group'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.
Arcontech Group Interest Coverage vs Software Industry
For the Software industry and Technology sector, Arcontech Group's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Arcontech Group's Interest Coverage falls into.
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.
Arcontech Group (LSE:ARC) has a Interest Coverage of 16.56 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Arcontech Group and its competitors. This is 84% below median its historical median of 103.32. Over the past decade, Arcontech Group's Interest Coverage has ranged from 18.24 to 10,000.00. According to the industry distribution chart, Arcontech Group ranks #958 out of 1707 companies in the Software industry, placing it in the top 56.1%.
Is Arcontech Group's Interest Coverage too high?
Arcontech Group's current Interest Coverage of 16.56 is 84% below median its 10-year median of 103.32. Over the past 10 years, this metric has ranged from a low of 18.24 to a high of 10,000.00. The Software industry median Interest Coverage is 24.65. Arcontech Group's value of 16.56 is 32.8% below this industry median. Based on the distribution chart, Arcontech Group ranks #958 out of 1707 companies in the Software industry, which is below the industry midpoint. Overall, Arcontech Group has a GF Score™ of 50/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arcontech Group's Interest Coverage compare to CRM and SHOP?
According to the Software industry distribution chart, Arcontech Group ranks #958 out of 1707 companies for Interest Coverage. This places Arcontech Group in the lower half of its industry. The industry median Interest Coverage is 24.65. Arcontech Group's value of 16.56 is 32.8% below this benchmark. Historically, Arcontech Group's own Interest Coverage has ranged from 18.24 to 10,000.00 over the past decade. While the company's 10-year median is 103.32 vs. the industry median of 24.65, Arcontech Group 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 Software company?
The median Interest Coverage among Software companies is 24.65, based on 1,707 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. Arcontech Group's current Interest Coverage of 16.56 is 32.8% 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 Arcontech Group and its competitors. For the Software industry, the median Interest Coverage is 24.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arcontech Group's current Interest Coverage is 16.56, which is 84% below median its own 10-year median of 103.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arcontech Group stock overvalued right now?
Based on GuruFocus' analysis, Arcontech Group (LSE:ARC) is currently considered Modestly Undervalued. The stock's GF Value™ is £0.87, compared to a current price of £0.78 — trading 10.9% below its estimated fair value. The current Interest Coverage is 16.56, which is 84% below median its 10-year median of 103.32 and 32.8% below the Software industry median of 24.65. Arcontech Group's overall GF Score™ is 50/100 with 1 warning sign 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 Arcontech Group (LSE:ARC), the current Interest Coverage is 16.56 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 Arcontech Group (LSE:ARC) Overvalued in 2026?
Based on GuruFocus' analysis, Arcontech Group stock appears to be undervalued.
The current stock price of £0.78 is trading 10.9% below its estimated GF Value™ of £0.87.
GuruFocus considers Arcontech Group to be Modestly Undervalued.
Key valuation signals for LSE:ARC:
Interest Coverage: 16.56 (84% below median its 10-year median of 103.32)
GF Value™: £0.87 vs. price of £0.78 (10.9% below fair value)
Industry Position: 32.8% below the Software median (#958 of 1707)
No single metric tells the full story. See the LSE:ARC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arcontech Group PLC is a real-time software company. The company develops and sells products and bespoke systems for collection, processing, distribution and presentation and time-sensitive financial markets data and provides computer consultancy services. Its products include Cityvision, Excelerator, Cityvison Cache, Cityvision Relay, and others. The company has a software development and license fees segment. The company operates in UK, Europe (excluding UK), Africa, North America, Australia, and Asia Pacific.
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