SVSO (SheerVision) Interest Coverage: 13.00 (As of May. 2010)


What is SheerVision Interest Coverage?

SheerVision SVSO Interest Coverage is 13.00 as of May. 2010.

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. SheerVision's Operating Income for the three months ended in May. 2010 was $0.01 Mil. SheerVision's Interest Expense for the three months ended in May. 2010 was $-0.00 Mil. SheerVision's interest coverage for the quarter that ended in May. 2010 was 13.00. The higher the ratio, the stronger the company's financial strength is.

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


SVSO's Interest Coverage is not ranked *
in the Medical Devices & Instruments industry.
Industry Median: 15.71
* Ranked among companies with meaningful Interest Coverage only.

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

SheerVision  (OTCPK:SVSO) 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 .

SheerVision Interest Coverage Related Terms

SheerVision Interest Coverage Historical Data

* Premium members only.

The historical data trend for SheerVision'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.

SheerVision Interest Coverage Chart

SheerVision Annual Data
Trend Jun00 Jun01 Jun02 Jun03 Jun04 Jun05 Aug06 Aug07 Aug08 Aug09
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only No Debt No Debt No Debt No Debt 0.00

SheerVision Quarterly Data
Jun05 Sep05 Dec05 Mar06 Aug06 Nov06 Feb07 May07 Aug07 Nov07 Feb08 May08 Aug08 Nov08 Feb09 May09 Aug09 Nov09 Feb10 May10
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 0.00 0.00 0.00 0.00 13.00

SVSO vs LENSF, WHSI, ASNB: Interest Coverage Comparison

For the Medical Instruments & Supplies subindustry, SheerVision'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.

SheerVision Interest Coverage vs Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, SheerVision's Interest Coverage distribution charts can be found below:

* The bar in red indicates where SheerVision's Interest Coverage falls into.


SheerVision 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.

SheerVision's Interest Coverage for the fiscal year that ended in Aug. 2009 is calculated as

Here, for the fiscal year that ended in Aug. 2009, SheerVision's Interest Expense was $-0.01 Mil. Its Operating Income was $-0.16 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.00 Mil.

SheerVision did not have earnings to cover the interest expense.

SheerVision's Interest Coverage for the quarter that ended in May. 2010 is calculated as

Here, for the three months ended in May. 2010, SheerVision's Interest Expense was $-0.00 Mil. Its Operating Income was $0.01 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.00 Mil.

Interest Coverage=-1* Operating Income (Q: May. 2010 )/Interest Expense (Q: May. 2010 )
=-1*0.013/-0.001
=13.00

* 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 13.00 mean?
SheerVision (SVSO) has a Interest Coverage of 13.00 as of May. 2010. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on SheerVision and its competitors.
Is SheerVision's Interest Coverage too high?
SheerVision's current Interest Coverage is 13.00. The Medical Devices & Instruments industry median Interest Coverage is 15.71. SheerVision's value of 13.00 is 17.3% below this industry median.
How does SheerVision's Interest Coverage compare to LENSF and WHSI?
SheerVision's Interest Coverage of 13.00 can be compared against companies in the Medical Devices & Instruments industry. The industry median Interest Coverage is 15.71. SheerVision's value of 13.00 is 17.3% below this benchmark. 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 15.71, based on 468 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. SheerVision's current Interest Coverage of 13.00 is 17.3% 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 SheerVision and its competitors. For the Medical Devices & Instruments industry, the median Interest Coverage is 15.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SheerVision's current Interest Coverage is 13.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SheerVision stock overvalued right now?
SheerVision (SVSO) has a current Interest Coverage of 13.00. The current Interest Coverage is 13.00 and 17.3% below the Medical Devices & Instruments industry median of 15.71. 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 SheerVision (SVSO), the current Interest Coverage is 13.00 as of May. 2010. 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.

SheerVision Business Description

Address 4030 Palos Verdes Drive N., Suite 104, Rolling Hills, CA, USA, 90274
SheerVision Inc designs, manufactures, markets, and sells proprietary surgical loupes and headlight systems to the dental, medical, and veterinary markets throughout the world. The company sells its products through distributors and e-commerce Website.