Optical CableOCC -4.95%46 Interest Coverage is 5.57 as of Apr. 2026, which is 548% above its 10-year median of 0.86. GuruFocus rates OCC with a GF Score™ of 46/100 and a GF Value™ of $3.22 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 1,671 Hardware companies, Optical Cable ranks worse than 88.75% 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. Optical Cable's
Operating Income
for the
three
months ended in Apr. 2026 was $1.30 Mil. Optical Cable's Interest Expense for the
three
months ended in Apr. 2026 was $-0.23 Mil.
Optical Cable's interest coverage for the quarter that ended in Apr. 2026 was 5.57.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Optical Cable's Interest Coverage or its related term are showing as below:
OCC'
s Interest Coverage Range Over the Past 10 Years
Min: 0.62 Med: 0.86 Max: 2.86
Current: 2.05
OCC's Interest Coverage is ranked worse than 88.75% of 1671
companies
in the Hardware industry
Industry Median: 13.79
vs OCC: 2.05
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 .
Optical Cable Interest Coverage Related Terms
Optical Cable Interest Coverage Historical Data
* Premium members only.
The historical data trend for Optical Cable'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.
OCC vs AMPG, WATT, AIRG: Interest Coverage Comparison
For the Communication Equipment subindustry, Optical Cable'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.
Optical Cable Interest Coverage vs Hardware Industry
For the Hardware industry and Technology sector, Optical Cable's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Optical Cable'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.
Optical Cable (OCC) has a Interest Coverage of 5.57 as of Apr. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Optical Cable and its competitors. This is 548% above median its historical median of 0.86. Over the past decade, Optical Cable's Interest Coverage has ranged from 0.62 to 2.86. According to the industry distribution chart, Optical Cable ranks #1483 out of 1671 companies in the Hardware industry, placing it in the top 88.7%.
Is Optical Cable's Interest Coverage too high?
Optical Cable's current Interest Coverage of 5.57 is 548% above median its 10-year median of 0.86. Over the past 10 years, this metric has ranged from a low of 0.62 to a high of 2.86. The Hardware industry median Interest Coverage is 13.79. Optical Cable's value of 5.57 is 59.6% below this industry median. Based on the distribution chart, Optical Cable ranks #1483 out of 1671 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, Optical Cable has a GF Score™ of 46/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Optical Cable's Interest Coverage compare to AMPG and WATT?
According to the Hardware industry distribution chart, Optical Cable ranks #1483 out of 1671 companies for Interest Coverage. This places Optical Cable in the lower half of its industry. The industry median Interest Coverage is 13.79. Optical Cable's value of 5.57 is 59.6% below this benchmark. Historically, Optical Cable's own Interest Coverage has ranged from 0.62 to 2.86 over the past decade. While the company's 10-year median is 0.86 vs. the industry median of 13.79, Optical Cable 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 Hardware company?
The median Interest Coverage among Hardware companies is 13.79, based on 1,671 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. Optical Cable's current Interest Coverage of 5.57 is 59.6% 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 Optical Cable and its competitors. For the Hardware industry, the median Interest Coverage is 13.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Optical Cable's current Interest Coverage is 5.57, which is 548% above median its own 10-year median of 0.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Optical Cable stock overvalued right now?
Based on GuruFocus' analysis, Optical Cable (OCC) is currently considered Significantly Overvalued. The stock's GF Value™ is $3.22, compared to a current price of $18.81 — trading 484.2% above its estimated fair value. The current Interest Coverage is 5.57, which is 548% above median its 10-year median of 0.86 and 59.6% below the Hardware industry median of 13.79. Optical Cable's overall GF Score™ is 46/100 with 1 warning sign 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 Optical Cable (OCC), the current Interest Coverage is 5.57 as of Apr. 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 Optical Cable (OCC) Overvalued in 2026?
Based on GuruFocus' analysis, Optical Cable stock appears to be overvalued.
The current stock price of $18.81 is trading 484.2% above its estimated GF Value™ of $3.22.
GuruFocus considers Optical Cable to be Significantly Overvalued.
Key valuation signals for OCC:
Interest Coverage: 5.57 (548% above median its 10-year median of 0.86)
GF Value™: $3.22 vs. price of $18.81 (484.2% above fair value)
Industry Position: 59.6% below the Hardware median (#1483 of 1671)
No single metric tells the full story. See the OCC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Optical Cable Corp manufactures a broad range of fiber optic and copper data communication cabling and connectivity solutions for the enterprise, wireless carrier, and specialty markets. The Company offers high quality products that operate as a system solution or integrate with other components, including fiber, copper, hybrid cabling, cabinets, racks, enclosures, and deployable solutions for enterprise networks, data centers, residential, campus, Passive Optical LAN installations, and customized applications in military, industrial, mining, petrochemical, renewable energy, and broadcast industries. It operates a single reportable segment covering the design, development, manufacture, and marketing of its cabling and connectivity solutions.
46GF Score
Get the complete analysis for OCC
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