MicroAlgoMLGO -4.27%58 Interest Coverage is 4.40 as of Dec. 2025, which is 86% below its 10-year median of 31.57. GuruFocus rates MLGO with a GF Score™ of 58/100 and a GF Value™ of $1.51 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 1,707 Software companies, MicroAlgo ranks worse than 74.34% 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. MicroAlgo's
Operating Income
for the
six
months ended in Dec. 2025 was $2.08 Mil. MicroAlgo's Interest Expense for the
six
months ended in Dec. 2025 was $-0.47 Mil.
MicroAlgo's interest coverage for the quarter that ended in Dec. 2025 was 4.40.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for MicroAlgo's Interest Coverage or its related term are showing as below:
MLGO'
s Interest Coverage Range Over the Past 10 Years
Min: 5.95 Med: 31.57 Max: 88.35
Current: 5.95
MLGO's Interest Coverage is ranked worse than 74.34% of 1707
companies
in the Software industry
Industry Median: 24.65
vs MLGO: 5.95
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 .
MicroAlgo Interest Coverage Related Terms
MicroAlgo Interest Coverage Historical Data
* Premium members only.
The historical data trend for MicroAlgo'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.
MLGO vs RMXI, AGPU, VHC: Interest Coverage Comparison
For the Software - Infrastructure subindustry, MicroAlgo'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.
MicroAlgo Interest Coverage vs Software Industry
For the Software industry and Technology sector, MicroAlgo's Interest Coverage distribution charts can be found below:
* The bar in red indicates where MicroAlgo'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.
MicroAlgo (MLGO) has a Interest Coverage of 4.40 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on MicroAlgo and its competitors. This is 86% below median its historical median of 31.57. Over the past decade, MicroAlgo's Interest Coverage has ranged from 5.95 to 88.35. According to the industry distribution chart, MicroAlgo ranks #1269 out of 1707 companies in the Software industry, placing it in the top 74.3%.
Is MicroAlgo's Interest Coverage too high?
MicroAlgo's current Interest Coverage of 4.40 is 86% below median its 10-year median of 31.57. Over the past 10 years, this metric has ranged from a low of 5.95 to a high of 88.35. The Software industry median Interest Coverage is 24.65. MicroAlgo's value of 4.40 is 82.2% below this industry median. Based on the distribution chart, MicroAlgo ranks #1269 out of 1707 companies in the Software industry, which is below the industry midpoint. Overall, MicroAlgo has a GF Score™ of 58/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does MicroAlgo's Interest Coverage compare to RMXI and AGPU?
According to the Software industry distribution chart, MicroAlgo ranks #1269 out of 1707 companies for Interest Coverage. This places MicroAlgo in the lower half of its industry. The industry median Interest Coverage is 24.65. MicroAlgo's value of 4.40 is 82.2% below this benchmark. Historically, MicroAlgo's own Interest Coverage has ranged from 5.95 to 88.35 over the past decade. While the company's 10-year median is 31.57 vs. the industry median of 24.65, MicroAlgo 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. MicroAlgo's current Interest Coverage of 4.40 is 82.2% 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 MicroAlgo 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. MicroAlgo's current Interest Coverage is 4.40, which is 86% below median its own 10-year median of 31.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MicroAlgo stock overvalued right now?
Based on GuruFocus' analysis, MicroAlgo (MLGO) is currently considered Significantly Overvalued. The stock's GF Value™ is $1.51, compared to a current price of $4.07 — trading 169.5% above its estimated fair value. The current Interest Coverage is 4.40, which is 86% below median its 10-year median of 31.57 and 82.2% below the Software industry median of 24.65. MicroAlgo's overall GF Score™ is 58/100 with 7 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 MicroAlgo (MLGO), the current Interest Coverage is 4.40 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 MicroAlgo (MLGO) Overvalued in 2026?
Based on GuruFocus' analysis, MicroAlgo stock appears to be overvalued.
The current stock price of $4.07 is trading 169.5% above its estimated GF Value™ of $1.51.
GuruFocus considers MicroAlgo to be Significantly Overvalued.
Key valuation signals for MLGO:
Interest Coverage: 4.40 (86% below median its 10-year median of 31.57)
GF Value™: $1.51 vs. price of $4.07 (169.5% above fair value)
Industry Position: 82.2% below the Software median (#1269 of 1707)
No single metric tells the full story. See the MLGO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
MicroAlgo Inc is engaged in the development and application of bespoke central processing algorithms and provides solutions by integrating these algorithms with software or hardware, or both, to streamline digital services. Its services include algorithm optimization, accelerating computing power without hardware upgrades, lightweight data processing, and data intelligence services. Its technology and solutions are mainly in internet multimedia video advertising, where it provides advertising distribution solutions, software services, comprehensive solutions for enterprise customers, and intelligent chips solutions. It derives revenue from central processing algorithm services for internet advertisement and intelligent chips and services, with maximum revenue generated from Mainland PRC.
58GF Score
Get the complete analysis for MLGO
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