Launch Tech Co (STU:LAN) Interest Coverage: 30.47 (As of Dec. 2025) — 253% Above Median


STU:LAN Launch Tech Co Ltd STU:LAN
72 GF Score
Price €0.76
GF Value €0.71
Valuation Fairly Valued
! 2 Warning Signs
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What is Launch Tech Co Interest Coverage?

Launch Tech Co STU:LAN 72 Interest Coverage is 30.47 as of Dec. 2025, which is 253% above its 10-year median of 8.62. GuruFocus rates STU:LAN with a GF Score™ of 72/100 and a GF Value™ of €0.71 (Fairly Valued). The stock has 2 warning signs investors should review. Among 1,067 Vehicles & Parts companies, Launch Tech Co ranks better than 78.82% 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. Launch Tech Co's Operating Income for the six months ended in Dec. 2025 was €19.6 Mil. Launch Tech Co's Interest Expense for the six months ended in Dec. 2025 was €-0.6 Mil. Launch Tech Co's interest coverage for the quarter that ended in Dec. 2025 was 30.47. The higher the ratio, the stronger the company's financial strength is.

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

STU:LAN' s Interest Coverage Range Over the Past 10 Years
Min: 2.16   Med: 8.62   Max: 40.66
Current: 40.6


STU:LAN's Interest Coverage is ranked better than
78.82% of 1067 companies
in the Vehicles & Parts industry
Industry Median: 8.31 vs STU:LAN: 40.60

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


Launch Tech Co  (STU:LAN) 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 .


Launch Tech Co Interest Coverage Related Terms


Launch Tech Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Launch Tech 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.

Launch Tech Co Interest Coverage Chart

Launch Tech Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.78 2.81 12.47 25.26 40.68

Launch Tech Co Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 Premium Member Only Premium Member Only Premium Member Only 8.50 N/A 8.59 55.27 30.47

STU:LAN vs ORLY, AZO: Interest Coverage Comparison

For the Auto Parts subindustry, Launch Tech 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.


Launch Tech Co Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Launch Tech Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Launch Tech Co's Interest Coverage falls into.


STU:LAN
72GF Score
Launch Tech Co Ltd STU:LAN
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Launch Tech 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.

Launch Tech 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, Launch Tech Co's Interest Expense was €-1.1 Mil. Its Operating Income was €44.3 Mil. And its Long-Term Debt & Capital Lease Obligation was €22.1 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*44.259/-1.088
=40.68

Launch Tech Co's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the six months ended in Dec. 2025, Launch Tech Co's Interest Expense was €-0.6 Mil. Its Operating Income was €19.6 Mil. And its Long-Term Debt & Capital Lease Obligation was €22.1 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*19.561/-0.642
=30.47

* 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 30.47 mean?
Launch Tech Co (STU:LAN) has a Interest Coverage of 30.47 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Launch Tech Co and its competitors. This is 253% above median its historical median of 8.62. Over the past decade, Launch Tech Co's Interest Coverage has ranged from 2.16 to 40.66. According to the industry distribution chart, Launch Tech Co ranks #226 out of 1067 companies in the Vehicles & Parts industry, placing it in the top 21.2%.
Is Launch Tech Co's Interest Coverage too high?
Launch Tech Co's current Interest Coverage of 30.47 is 253% above median its 10-year median of 8.62. Over the past 10 years, this metric has ranged from a low of 2.16 to a high of 40.66. The Vehicles & Parts industry median Interest Coverage is 8.31. Launch Tech Co's value of 30.47 is 266.7% above this industry median. Based on the distribution chart, Launch Tech Co ranks #226 out of 1067 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Launch Tech Co has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Launch Tech Co's Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Launch Tech Co ranks #226 out of 1067 companies for Interest Coverage. This places Launch Tech Co in the top 21% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 8.31. Launch Tech Co's value of 30.47 is 266.7% above this benchmark. Historically, Launch Tech Co's own Interest Coverage has ranged from 2.16 to 40.66 over the past decade. While the company's 10-year median is 8.62 vs. the industry median of 8.31, Launch Tech 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.31, based on 1,067 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. Launch Tech Co's current Interest Coverage of 30.47 is 266.7% 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 Launch Tech Co and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Launch Tech Co's current Interest Coverage is 30.47, which is 253% above median its own 10-year median of 8.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Launch Tech Co stock overvalued right now?
Based on GuruFocus' analysis, Launch Tech Co (STU:LAN) is currently considered Fairly Valued. The stock's GF Value™ is €0.71, compared to a current price of €0.76 — trading 6.3% above its estimated fair value. The current Interest Coverage is 30.47, which is 253% above median its 10-year median of 8.62 and 266.7% above the Vehicles & Parts industry median of 8.31. Launch Tech Co's overall GF Score™ is 72/100 with 2 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 Launch Tech Co (STU:LAN), the current Interest Coverage is 30.47 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 Launch Tech Co (STU:LAN) Overvalued in 2026?

Based on GuruFocus' analysis, Launch Tech Co stock appears to be overvalued. The current stock price of €0.76 is trading 6.3% above its estimated GF Value™ of €0.71. GuruFocus considers Launch Tech Co to be Fairly Valued.

Key valuation signals for STU:LAN:

  • Interest Coverage: 30.47 (253% above median its 10-year median of 8.62)
  • GF Value™: €0.71 vs. price of €0.76 (6.3% above fair value)
  • GF Score™: 72/100 with 2 warning signs
  • Industry Position: 266.7% above the Vehicles & Parts median (#226 of 1067)

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


Launch Tech Co Business Description

Other Exchanges 02488:Hong Kong
Address North of Wuhe Road, Launch Industrial Park, Banxuegang, Longgang District, Shenzhen, CHN, 518129
Launch Tech Co Ltd principally engages in the provision of products and services serving the automotive aftermarket and the automobile industry mainly in the People's Republic of China and certain overseas countries. The Company has three reporting segments: i) Automotive diagnosis segment, ii) Europe Overseas Sales segment, and iii) U.S. overseas sales segment. The automotive diagnosis segment covers research and development, production and sales of automotive diagnostic and inspection products. The Europe Overseas Sales segment covers development and maintenance of European distributors and customers. The U.S. Overseas Sales segment covers development and maintenance of distributors and customers in the Americas. The majority of revenue is derived from the Automotive diagnosis segment.
72GF Score

Get the complete analysis for STU:LAN

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

€0.76
Price
€0.71
GF Value