Industria Automotriz de CV (MEX:IASASA) Interest Coverage: No Debt (1) (As of Jun. 2011)


What is Industria Automotriz de CV Interest Coverage?

Industria Automotriz de CV MEX:IASASA Interest Coverage is No Debt (1) as of Jun. 2011.

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. Industria Automotriz de CV's Operating Income for the three months ended in Jun. 2011 was MXN-1.29 Mil. Industria Automotriz de CV's Interest Expense for the three months ended in Jun. 2011 was MXN0.00 Mil. Industria Automotriz de CV has no debt. The higher the ratio, the stronger the company's financial strength is.

(1) 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.

The historical rank and industry rank for Industria Automotriz de CV's Interest Coverage or its related term are showing as below:


MEX:IASASA's Interest Coverage is not ranked *
in the Vehicles & Parts industry.
Industry Median: 8.295
* 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.

Industria Automotriz de CV  (MEX:IASASA) 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 .

Industria Automotriz de CV Interest Coverage Related Terms

Industria Automotriz de CV Interest Coverage Historical Data

* Premium members only.

The historical data trend for Industria Automotriz de CV'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.

Industria Automotriz de CV Interest Coverage Chart

Industria Automotriz de CV Annual Data
Trend Dec07 Dec08 Dec09
Interest Coverage
No Debt 1.80 No Debt

Industria Automotriz de CV Quarterly Data
Dec07 Dec08 Sep09 Dec09 Mar10 Jun10 Sep10 Mar11 Jun11
Interest Coverage Get a 7-Day Free Trial Premium Member Only 0.00 No Debt 0.00 0.00 No Debt

MEX:IASASA vs CSHEF, AMTY, OMTK: Interest Coverage Comparison

For the Auto Parts subindustry, Industria Automotriz de CV'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.

Industria Automotriz de CV Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Industria Automotriz de CV's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Industria Automotriz de CV's Interest Coverage falls into.


Industria Automotriz de CV 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.

Industria Automotriz de CV's Interest Coverage for the fiscal year that ended in Dec. 2009 is calculated as

Here, for the fiscal year that ended in Dec. 2009, Industria Automotriz de CV's Interest Expense was MXN0.00 Mil. Its Operating Income was MXN34.02 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN0.00 Mil.

Industria Automotriz de CV had no debt (1).

Industria Automotriz de CV's Interest Coverage for the quarter that ended in Jun. 2011 is calculated as

Here, for the three months ended in Jun. 2011, Industria Automotriz de CV's Interest Expense was MXN0.00 Mil. Its Operating Income was MXN-1.29 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN0.00 Mil.

Industria Automotriz de CV had no debt (1).

* 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 No Debt <sup>(1)</sup> mean?
Industria Automotriz de CV (MEX:IASASA) has a Interest Coverage of No Debt (1) as of Jun. 2011. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Industria Automotriz de CV and its competitors.
Is Industria Automotriz de CV's Interest Coverage too high?
Industria Automotriz de CV's current Interest Coverage is No Debt (1).
How does Industria Automotriz de CV's Interest Coverage compare to CSHEF and AMTY?
Industria Automotriz de CV's Interest Coverage of No Debt (1) can be compared against companies in the Vehicles & Parts industry. The industry median Interest Coverage is 8.30. 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 8.30, based on 1,066 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 Industria Automotriz de CV and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Industria Automotriz de CV's current Interest Coverage is No Debt (1). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Industria Automotriz de CV stock overvalued right now?
Industria Automotriz de CV (MEX:IASASA) has a current Interest Coverage of No Debt (1). The current Interest Coverage is No Debt (1). 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 Industria Automotriz de CV (MEX:IASASA), the current Interest Coverage is No Debt (1) as of Jun. 2011. 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.

Industria Automotriz de CV Business Description

Address Avenida Universidad 1011, San Nicolas de los Garza, NL, MEX, 66400
Industria Automotriz SA de CV is engaged in manufacturing of stamping, assemblies and subassemblies for the automotive industry. The company also manufactures dies and tool, assembly attachments and attachments to check the produced pieces.