Gear4music (Holdings)LSE:G4M -4.18%67 Interest Coverage is 11.73 as of Mar. 2026, which is 120% above its 10-year median of 5.32. GuruFocus rates LSE:G4M with a GF Score™ of 67/100 and a GF Value™ of £2.20 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 824 Retail - Cyclical companies, Gear4music (Holdings) ranks worse than 51.33% 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. Gear4music (Holdings)'s
Operating Income
for the
six
months ended in Mar. 2026 was £7.7 Mil. Gear4music (Holdings)'s Interest Expense for the
six
months ended in Mar. 2026 was £-0.7 Mil.
Gear4music (Holdings)'s interest coverage for the quarter that ended in Mar. 2026 was 11.73.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Gear4music (Holdings)'s Interest Coverage or its related term are showing as below:
LSE:G4M'
s Interest Coverage Range Over the Past 10 Years
Min: 0.52 Med: 5.32 Max: 55.66
Current: 7.57
LSE:G4M's Interest Coverage is ranked worse than 51.33% of 824
companies
in the Retail - Cyclical industry
Industry Median: 7.94
vs LSE:G4M: 7.57
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 .
Gear4music (Holdings) Interest Coverage Related Terms
Gear4music (Holdings) Interest Coverage Historical Data
* Premium members only.
The historical data trend for Gear4music (Holdings)'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:G4M vs AMZN, BABA, PDD: Interest Coverage Comparison
For the Internet Retail subindustry, Gear4music (Holdings)'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.
Gear4music (Holdings) Interest Coverage vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Gear4music (Holdings)'s Interest Coverage distribution charts can be found below:
* The bar in red indicates where Gear4music (Holdings)'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.
Gear4music (Holdings) (LSE:G4M) has a Interest Coverage of 11.73 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Gear4music (Holdings) and its competitors. This is 120% above median its historical median of 5.32. Over the past decade, Gear4music (Holdings)'s Interest Coverage has ranged from 0.52 to 55.66. According to the industry distribution chart, Gear4music (Holdings) ranks #423 out of 824 companies in the Retail - Cyclical industry, placing it in the top 51.3%.
Is Gear4music (Holdings)'s Interest Coverage too high?
Gear4music (Holdings)'s current Interest Coverage of 11.73 is 120% above median its 10-year median of 5.32. Over the past 10 years, this metric has ranged from a low of 0.52 to a high of 55.66. The Retail - Cyclical industry median Interest Coverage is 7.94. Gear4music (Holdings)'s value of 11.73 is 47.7% above this industry median. Based on the distribution chart, Gear4music (Holdings) ranks #423 out of 824 companies in the Retail - Cyclical industry, which is below the industry midpoint. Overall, Gear4music (Holdings) has a GF Score™ of 67/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Gear4music (Holdings)'s Interest Coverage compare to AMZN and BABA?
According to the Retail - Cyclical industry distribution chart, Gear4music (Holdings) ranks #423 out of 824 companies for Interest Coverage. This places Gear4music (Holdings) in the lower half of its industry. The industry median Interest Coverage is 7.94. Gear4music (Holdings)'s value of 11.73 is 47.7% above this benchmark. Historically, Gear4music (Holdings)'s own Interest Coverage has ranged from 0.52 to 55.66 over the past decade. While the company's 10-year median is 5.32 vs. the industry median of 7.94, Gear4music (Holdings) 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 Retail - Cyclical company?
The median Interest Coverage among Retail - Cyclical companies is 7.94, based on 824 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. Gear4music (Holdings)'s current Interest Coverage of 11.73 is 47.7% 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 Gear4music (Holdings) and its competitors. For the Retail - Cyclical industry, the median Interest Coverage is 7.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gear4music (Holdings)'s current Interest Coverage is 11.73, which is 120% above median its own 10-year median of 5.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gear4music (Holdings) stock overvalued right now?
Based on GuruFocus' analysis, Gear4music (Holdings) (LSE:G4M) is currently considered Modestly Overvalued. The stock's GF Value™ is £2.20, compared to a current price of £2.75 — trading 25% above its estimated fair value. The current Interest Coverage is 11.73, which is 120% above median its 10-year median of 5.32 and 47.7% above the Retail - Cyclical industry median of 7.94. Gear4music (Holdings)'s overall GF Score™ is 67/100 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 Gear4music (Holdings) (LSE:G4M), the current Interest Coverage is 11.73 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 Gear4music (Holdings) (LSE:G4M) Overvalued in 2026?
Based on GuruFocus' analysis, Gear4music (Holdings) stock appears to be overvalued.
The current stock price of £2.75 is trading 25% above its estimated GF Value™ of £2.20.
GuruFocus considers Gear4music (Holdings) to be Modestly Overvalued.
Key valuation signals for LSE:G4M:
Interest Coverage: 11.73 (120% above median its 10-year median of 5.32)
GF Value™: £2.20 vs. price of £2.75 (25% above fair value)
Industry Position: 47.7% above the Retail - Cyclical median (#423 of 824)
No single metric tells the full story. See the LSE:G4M stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Gear4music (Holdings) PLC, a holding company operates as an online retailer of musical instruments and equipment. Geographically, it derives majority of its revenue from the United Kingdom and has a presence in Europe and the Rest of the World. It generates revenue by-products such as Own-brand products, Other-brand products, Warranty income and Other. The company has developed its e-commerce platform, with multilingual, multicurrency and responsive design Websites.
67GF Score
Get the complete analysis for LSE:G4M
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