Nextlink Technology Co (ROCO:6997) Interest Coverage: 69.02 (As of Jun. 2026) — 77% Below Median

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ROCO:6997 Nextlink Technology Co Ltd ROCO:6997
65 GF Score
Price NT$68.00
GF Value NT$132.65
Valuation Possible Value Trap
! 5 Warning Signs
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What is Nextlink Technology Co Interest Coverage?

Nextlink Technology Co ROCO:6997 65 Interest Coverage is 69.02 as of Jun. 2026, which is 77% below its 10-year median of 302.27. GuruFocus rates ROCO:6997 with a GF Score™ of 65/100 and a GF Value™ of NT$132.65 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 1,710 Software companies, Nextlink Technology Co ranks better than 72.57% 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. Nextlink Technology Co's Operating Income for the three months ended in Jun. 2026 was NT$34 Mil. Nextlink Technology Co's Interest Expense for the three months ended in Jun. 2026 was NT$-0 Mil. Nextlink Technology Co's interest coverage for the quarter that ended in Jun. 2026 was 69.02. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Nextlink Technology Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for Nextlink Technology Co's Interest Coverage or its related term are showing as below:

ROCO:6997' s Interest Coverage Range Over the Past 10 Years
Min: 154.85   Med: 302.27   Max: 839.02
Current: 154.85


ROCO:6997's Interest Coverage is ranked better than
72.57% of 1710 companies
in the Software industry
Industry Median: 26.03 vs ROCO:6997: 154.85

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Nextlink Technology Co  (ROCO:6997) 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 .


Nextlink Technology Co Interest Coverage Related Terms


Nextlink Technology Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Nextlink Technology Co'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.

Nextlink Technology Co Interest Coverage Chart

Nextlink Technology Co Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial 381.63 298.91 187.00 839.02 305.63

Nextlink Technology Co Quarterly Data
Dec20 Dec21 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 142.07 230.89 310.39 199.11 69.02

ROCO:6997 vs IBM, ACN, CTSH: Interest Coverage Comparison

For the Information Technology Services subindustry, Nextlink 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.


Nextlink Technology Co Interest Coverage vs Software Industry

For the Software industry and Technology sector, Nextlink Technology Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Nextlink Technology Co's Interest Coverage falls into.


ROCO:6997
65GF Score
Nextlink Technology Co Ltd ROCO:6997
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Nextlink 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:

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.

Nextlink Technology Co's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Nextlink Technology Co's Interest Expense was NT$-0 Mil. Its Operating Income was NT$142 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$12 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*142.425/-0.466
=305.63

Nextlink Technology Co's Interest Coverage for the quarter that ended in Jun. 2026 is calculated as

Here, for the three months ended in Jun. 2026, Nextlink Technology Co's Interest Expense was NT$-0 Mil. Its Operating Income was NT$34 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$6 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2026 )/Interest Expense (Q: Jun. 2026 )
=-1*34.165/-0.495
=69.02

* 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 69.02 mean?
Nextlink Technology Co (ROCO:6997) has a Interest Coverage of 69.02 as of Jun. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Nextlink Technology Co and its competitors. This is 77% below median its historical median of 302.27. Over the past decade, Nextlink Technology Co's Interest Coverage has ranged from 154.85 to 839.02. According to the industry distribution chart, Nextlink Technology Co ranks #469 out of 1710 companies in the Software industry, placing it in the top 27.4%.
Is Nextlink Technology Co's Interest Coverage too high?
Nextlink Technology Co's current Interest Coverage of 69.02 is 77% below median its 10-year median of 302.27. Over the past 10 years, this metric has ranged from a low of 154.85 to a high of 839.02. The Software industry median Interest Coverage is 26.03. Nextlink Technology Co's value of 69.02 is 165.2% above this industry median. Based on the distribution chart, Nextlink Technology Co ranks #469 out of 1710 companies in the Software industry, which is above the industry midpoint. Overall, Nextlink Technology Co has a GF Score™ of 65/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Nextlink Technology Co's Interest Coverage compare to IBM and ACN?
According to the Software industry distribution chart, Nextlink Technology Co ranks #469 out of 1710 companies for Interest Coverage. This puts Nextlink Technology Co in the upper half of its industry. The industry median Interest Coverage is 26.03. Nextlink Technology Co's value of 69.02 is 165.2% above this benchmark. Historically, Nextlink Technology Co's own Interest Coverage has ranged from 154.85 to 839.02 over the past decade. While the company's 10-year median is 302.27 vs. the industry median of 26.03, Nextlink Technology Co has consistently been above 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 26.03, based on 1,710 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. Nextlink Technology Co's current Interest Coverage of 69.02 is 165.2% above 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 Nextlink Technology Co and its competitors. For the Software industry, the median Interest Coverage is 26.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nextlink Technology Co's current Interest Coverage is 69.02, which is 77% below median its own 10-year median of 302.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nextlink Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Nextlink Technology Co (ROCO:6997) is currently considered Possible Value Trap. The stock's GF Value™ is NT$132.65, compared to a current price of NT$68.00 — trading 48.7% below its estimated fair value. The current Interest Coverage is 69.02, which is 77% below median its 10-year median of 302.27 and 165.2% above the Software industry median of 26.03. Nextlink Technology Co's overall GF Score™ is 65/100 with 5 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 Nextlink Technology Co (ROCO:6997), the current Interest Coverage is 69.02 as of Jun. 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 Nextlink Technology Co (ROCO:6997) Overvalued in 2026?

Based on GuruFocus' analysis, Nextlink Technology Co stock appears to be undervalued. The current stock price of NT$68.00 is trading 48.7% below its estimated GF Value™ of NT$132.65. GuruFocus considers Nextlink Technology Co to be Possible Value Trap.

Key valuation signals for ROCO:6997:

  • Interest Coverage: 69.02 (77% below median its 10-year median of 302.27)
  • GF Value™: NT$132.65 vs. price of NT$68.00 (48.7% below fair value)
  • GF Score™: 65/100 with 5 warning signs
  • Industry Position: 165.2% above the Software median (#469 of 1710)

No single metric tells the full story. See the ROCO:6997 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Nextlink Technology Co Business Description

Address 5th Floor.-8, No. 267, Lequn 2nd Road, Zhongshan District, Taipei, TWN, 104
Nextlink Technology Co Ltd is a company who has multi-platform certified architects and an experienced team at home and abroad to provide enterprises with professional, diversified and global cloud services, Solutions and Managed Services. The company provides public cloud, private cloud and hybrid cloud integration services, including Amazon Web Service and Google Cloud, Alibaba Cloud and Mircosoft Azure provided by its subsidiary Microfusion, creating a multi-cloud service architecture tailored for enterprises and building It has a complete cloud ecosystem and has more than 2,000 customer service experience at home and abroad. Customer industries include: high-tech, games, media, retail, e-commerce helping enterprises maximize operational synergies.
65GF Score

Get the complete analysis for ROCO:6997

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

NT$68.00
Price
NT$132.65
GF Value