Motorcar Parts of AmericaMPAA +3.95%70 Interest Coverage is 2.19 as of Mar. 2026, which is 67% above its 10-year median of 1.31. GuruFocus rates MPAA with a GF Score™ of 70/100 and a GF Value™ of $9.67 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 1,066 Vehicles & Parts companies, Motorcar Parts of America ranks worse than 90.9% 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. Motorcar Parts of America's
Operating Income
for the
three
months ended in Mar. 2026 was $22.5 Mil. Motorcar Parts of America's Interest Expense for the
three
months ended in Mar. 2026 was $-10.3 Mil.
Motorcar Parts of America's interest coverage for the quarter that ended in Mar. 2026 was 2.19.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Motorcar Parts of America's Interest Coverage or its related term are showing as below:
MPAA'
s Interest Coverage Range Over the Past 10 Years
Min: 0.69 Med: 1.31 Max: 5.33
Current: 1.22
MPAA's Interest Coverage is ranked worse than 90.9% of 1066
companies
in the Vehicles & Parts industry
Industry Median: 8.295
vs MPAA: 1.22
Motorcar Parts of America (NAS:MPAA) 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 .
Motorcar Parts of America Interest Coverage Related Terms
Motorcar Parts of America Interest Coverage Historical Data
* 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.
MPAA vs SRI, CVGI, INVZ: Interest Coverage Comparison
For the Auto Parts subindustry, Motorcar Parts of America'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.
Motorcar Parts of America Interest Coverage vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Motorcar Parts of America's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Motorcar Parts of America's Interest Coverage falls into.
Motorcar Parts of America 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:
* 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.
Motorcar Parts of America (MPAA) has a Interest Coverage of 2.19 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Motorcar Parts of America and its competitors. This is 67% above median its historical median of 1.31. Over the past decade, Motorcar Parts of America's Interest Coverage has ranged from 0.69 to 5.33. According to the industry distribution chart, Motorcar Parts of America ranks #969 out of 1066 companies in the Vehicles & Parts industry, placing it in the top 90.9%.
Is Motorcar Parts of America's Interest Coverage too high?
Motorcar Parts of America's current Interest Coverage of 2.19 is 67% above median its 10-year median of 1.31. Over the past 10 years, this metric has ranged from a low of 0.69 to a high of 5.33. The Vehicles & Parts industry median Interest Coverage is 8.30. Motorcar Parts of America's value of 2.19 is 73.6% below this industry median. Based on the distribution chart, Motorcar Parts of America ranks #969 out of 1066 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Motorcar Parts of America has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Motorcar Parts of America's Interest Coverage compare to SRI and CVGI?
According to the Vehicles & Parts industry distribution chart, Motorcar Parts of America ranks #969 out of 1066 companies for Interest Coverage. This places Motorcar Parts of America in the lower half of its industry. The industry median Interest Coverage is 8.30. Motorcar Parts of America's value of 2.19 is 73.6% below this benchmark. Historically, Motorcar Parts of America's own Interest Coverage has ranged from 0.69 to 5.33 over the past decade. While the company's 10-year median is 1.31 vs. the industry median of 8.30, Motorcar Parts of America 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 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. Motorcar Parts of America's current Interest Coverage of 2.19 is 73.6% 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 Motorcar Parts of America 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. Motorcar Parts of America's current Interest Coverage is 2.19, which is 67% above median its own 10-year median of 1.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Motorcar Parts of America stock overvalued right now?
Based on GuruFocus' analysis, Motorcar Parts of America (MPAA) is currently considered Significantly Overvalued. The stock's GF Value™ is $9.67, compared to a current price of $15.51 — trading 60.4% above its estimated fair value. The current Interest Coverage is 2.19, which is 67% above median its 10-year median of 1.31 and 73.6% below the Vehicles & Parts industry median of 8.30. Motorcar Parts of America's overall GF Score™ is 70/100 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 Motorcar Parts of America (MPAA), the current Interest Coverage is 2.19 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 Motorcar Parts of America (MPAA) Overvalued in 2026?
Based on GuruFocus' analysis, Motorcar Parts of America stock appears to be overvalued.
The current stock price of $15.51 is trading 60.4% above its estimated GF Value™ of $9.67.
GuruFocus considers Motorcar Parts of America to be Significantly Overvalued.
Key valuation signals for MPAA:
Interest Coverage: 2.19 (67% above median its 10-year median of 1.31)
GF Value™: $9.67 vs. price of $15.51 (60.4% above fair value)
Industry Position: 73.6% below the Vehicles & Parts median (#969 of 1066)
No single metric tells the full story. See the MPAA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Motorcar Parts of America Inc is a supplier of automotive aftermarket non-discretionary replacement parts, test solutions, and diagnostic equipment. Its replacement parts are mainly sold to automotive retail chain stores, warehouse distributors across North America, and automobile manufacturers for aftermarket and warranty replacement programs. The Company's test solutions and diagnostic equipment serve the automotive component and powertrain testing market. Its product portfolio includes rotating electrical products such as alternators and starters; brake-related products including brake calipers, brake rotors, brake pads, brake master cylinders, and wheel hub assemblies and bearings; and other products. Its segments are Hard Parts, Test Solutions and Diagnostic Equipment, and Heavy Duty.
70GF Score
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