TorotrakLSE:TRK Interest Coverage is 0 (At Loss) as of Mar. 2017. The stock has 4 warning signs investors should review.
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. Torotrak's
Operating Income
for the
six
months ended in Mar. 2017 was £-17.79 Mil. Torotrak's Interest Expense for the
six
months ended in Mar. 2017 was £-0.10 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 Torotrak's Interest Coverage or its related term are showing as below:
LSE:TRK's Interest Coverage is not ranked *
in the Vehicles & Parts industry.
Industry Median: 8.31 * Ranked among companies with meaningful Interest Coverage only.
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 .
Torotrak Interest Coverage Related Terms
Torotrak Interest Coverage Historical Data
* Premium members only.
The historical data trend for Torotrak'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.
For the Auto Parts subindustry, Torotrak'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.
Torotrak Interest Coverage vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Torotrak's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Torotrak'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:
Torotrak 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.
What does a Interest Coverage of 0 (At Loss) mean?
Torotrak (LSE:TRK) has a Interest Coverage of 0 (At Loss) as of Mar. 2017. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Torotrak and its competitors.
Is Torotrak's Interest Coverage too high?
Torotrak's current Interest Coverage is 0 (At Loss).
How does Torotrak's Interest Coverage compare to DLPH?
Torotrak's Interest Coverage of 0 (At Loss) can be compared against companies in the Vehicles & Parts industry. The industry median Interest Coverage is 8.31. 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.31, based on 1,067 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 Torotrak and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Torotrak'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 Torotrak stock overvalued right now?
Torotrak (LSE:TRK) has a current Interest Coverage of 0 (At Loss). The current Interest Coverage is 0 (At Loss). 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 Torotrak (LSE:TRK), the current Interest Coverage is 0 (At Loss) as of Mar. 2017. 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.
Torotrak PLC is a technology development company. It designs, develops and offers technologies that are focused on products, such as infinitely variable transmissions (IVTs), variable drive superchargers (V-Charge) and mechanical kinetic energy recovery systems (Flybrid). The company operates its business through the following segments, Licence Agreements, Engineering Services, and Development Activities, Including Research and The Creation of New Intellectual Property. Its Flybrid technology relates to high-speed flywheels which are used vehicles, V-Charge technology is used to control emissions in gasoline and diesel engines, and IVTs improves the performance and fuel economy of the vehicle.
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