Formosa Optical Technology CoROCO:5312 +1.13%82 Interest Coverage is 5.36 as of Dec. 2025, which is 32% below its 10-year median of 7.89. GuruFocus rates ROCO:5312 with a GF Score™ of 82/100 and a GF Value™ of NT$108.63 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 466 Medical Devices & Instruments companies, Formosa Optical Technology Co ranks worse than 75.32% 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. Formosa Optical Technology Co's
Operating Income
for the
three
months ended in Dec. 2025 was NT$87 Mil. Formosa Optical Technology Co's Interest Expense for the
three
months ended in Dec. 2025 was NT$-16 Mil.
Formosa Optical Technology Co's interest coverage for the quarter that ended in Dec. 2025 was 5.36.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Formosa Optical Technology Co's Interest Coverage or its related term are showing as below:
ROCO:5312'
s Interest Coverage Range Over the Past 10 Years
Min: 3.19 Med: 7.89 Max: 20.76
Current: 5.23
ROCO:5312's Interest Coverage is ranked worse than 75.32% of 466
companies
in the Medical Devices & Instruments industry
Industry Median: 15.875
vs ROCO:5312: 5.23
Formosa Optical Technology Co (ROCO:5312) 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 .
Formosa Optical Technology Co Interest Coverage Related Terms
Formosa Optical Technology Co 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.
Formosa Optical Technology Co Interest Coverage Chart
ROCO:5312 vs ISRG, BDX, MDLN: Interest Coverage Comparison
For the Medical Instruments & Supplies subindustry, Formosa Optical Technology Co'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.
Formosa Optical Technology Co Interest Coverage vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Formosa Optical Technology Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Formosa Optical Technology Co's Interest Coverage falls into.
Formosa Optical Technology Co 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.
Formosa Optical Technology Co (ROCO:5312) has a Interest Coverage of 5.36 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Formosa Optical Technology Co and its competitors. This is 32% below median its historical median of 7.89. Over the past decade, Formosa Optical Technology Co's Interest Coverage has ranged from 3.19 to 20.76. According to the industry distribution chart, Formosa Optical Technology Co ranks #351 out of 466 companies in the Medical Devices & Instruments industry, placing it in the top 75.3%.
Is Formosa Optical Technology Co's Interest Coverage too high?
Formosa Optical Technology Co's current Interest Coverage of 5.36 is 32% below median its 10-year median of 7.89. Over the past 10 years, this metric has ranged from a low of 3.19 to a high of 20.76. The Medical Devices & Instruments industry median Interest Coverage is 15.88. Formosa Optical Technology Co's value of 5.36 is 66.2% below this industry median. Based on the distribution chart, Formosa Optical Technology Co ranks #351 out of 466 companies in the Medical Devices & Instruments industry, which is in the bottom quartile relative to peers. Overall, Formosa Optical Technology Co has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Formosa Optical Technology Co's Interest Coverage compare to ISRG and BDX?
According to the Medical Devices & Instruments industry distribution chart, Formosa Optical Technology Co ranks #351 out of 466 companies for Interest Coverage. This places Formosa Optical Technology Co in the lower half of its industry. The industry median Interest Coverage is 15.88. Formosa Optical Technology Co's value of 5.36 is 66.2% below this benchmark. Historically, Formosa Optical Technology Co's own Interest Coverage has ranged from 3.19 to 20.76 over the past decade. While the company's 10-year median is 7.89 vs. the industry median of 15.88, Formosa Optical Technology Co 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 Medical Devices & Instruments company?
The median Interest Coverage among Medical Devices & Instruments companies is 15.88, based on 466 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. Formosa Optical Technology Co's current Interest Coverage of 5.36 is 66.2% 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 Formosa Optical Technology Co and its competitors. For the Medical Devices & Instruments industry, the median Interest Coverage is 15.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Formosa Optical Technology Co's current Interest Coverage is 5.36, which is 32% below median its own 10-year median of 7.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Formosa Optical Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Formosa Optical Technology Co (ROCO:5312) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$108.63, compared to a current price of NT$89.60 — trading 17.5% below its estimated fair value. The current Interest Coverage is 5.36, which is 32% below median its 10-year median of 7.89 and 66.2% below the Medical Devices & Instruments industry median of 15.88. Formosa Optical Technology Co's overall GF Score™ is 82/100 with 4 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 Formosa Optical Technology Co (ROCO:5312), the current Interest Coverage is 5.36 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 Formosa Optical Technology Co (ROCO:5312) Overvalued in 2026?
Based on GuruFocus' analysis, Formosa Optical Technology Co stock appears to be undervalued.
The current stock price of NT$89.60 is trading 17.5% below its estimated GF Value™ of NT$108.63.
GuruFocus considers Formosa Optical Technology Co to be Modestly Undervalued.
Key valuation signals for ROCO:5312:
Interest Coverage: 5.36 (32% below median its 10-year median of 7.89)
GF Value™: NT$108.63 vs. price of NT$89.60 (17.5% below fair value)
Industry Position: 66.2% below the Medical Devices & Instruments median (#351 of 466)
No single metric tells the full story. See the ROCO:5312 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Formosa Optical Technology Co Business Description
Formosa Optical Technology Co Ltd is mainly engaged in the eyewear business, including optometry services and the retail business selling contact lenses and eye drops. The Group mainly derives revenue from the business divisions of Formosa Optical Technology and Bo Wei Optical, with Formosa Optical Technology generating maximum revenue. The majority of revenue is derived from the sale of glasses. The Group generates the majority of its revenue from Taiwan.
82GF Score
Get the complete analysis for ROCO:5312
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