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. Synthesis Energy Systems's
Operating Income
for the
three
months ended in Dec. 2019 was $-1.92 Mil. Synthesis Energy Systems's Interest Expense for the
three
months ended in Dec. 2019 was $-0.26 Mil.
did not have earnings to cover the interest expense.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Synthesis Energy Systems's Interest Coverage or its related term are showing as below:
SYNE's Interest Coverage is not ranked *
in the Oil & Gas industry.
Industry Median: 5.89 * Ranked among companies with meaningful Interest Coverage only.
Synthesis Energy Systems (OTCPK:SYNE) 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 .
Synthesis Energy Systems Interest Coverage Related Terms
Synthesis Energy Systems 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.
SYNE vs SMGI, ALYE, FLSS: Interest Coverage Comparison
For the Oil & Gas Equipment & Services subindustry, Synthesis Energy Systems'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.
Synthesis Energy Systems Interest Coverage vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Synthesis Energy Systems's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Synthesis Energy Systems's Interest Coverage falls into.
Synthesis Energy Systems 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:
Synthesis Energy Systems did not have earnings to cover the 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.
What does a Interest Coverage of 0 (At Loss) mean?
Synthesis Energy Systems (SYNE) has a Interest Coverage of 0 (At Loss) as of Dec. 2019. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Synthesis Energy Systems and its competitors.
Is Synthesis Energy Systems' Interest Coverage too high?
Synthesis Energy Systems' current Interest Coverage is 0 (At Loss). Overall, Synthesis Energy Systems has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Synthesis Energy Systems' Interest Coverage compare to SMGI and ALYE?
Synthesis Energy Systems' Interest Coverage of 0 (At Loss) can be compared against companies in the Oil & Gas industry. The industry median Interest Coverage is 5.89. 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 an Oil & Gas company?
The median Interest Coverage among Oil & Gas companies is 5.89, based on 731 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. 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 Synthesis Energy Systems and its competitors. For the Oil & Gas industry, the median Interest Coverage is 5.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Synthesis Energy Systems's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Synthesis Energy Systems stock overvalued right now?
Synthesis Energy Systems (SYNE) has a current Interest Coverage of 0 (At Loss). The current Interest Coverage is 0 (At Loss). Synthesis Energy Systems' overall GF Score™ is 12/100. 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 Synthesis Energy Systems (SYNE), the current Interest Coverage is 0 (At Loss) as of Dec. 2019. 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.
Synthesis Energy Systems Inc is a US-based clean energy company that develops, builds and owns clean energy projects. The company provides proprietary gasification technology systems and solutions to the energy and chemical industries. Its gasification technology is a flexible, efficient and economic technology used for the production of synthesis gas or syngas which is a mixture of hydrogen, carbon monoxide and methane. Business activities of the company include supplying its proprietary gasification technology, equipment, and services into projects where these lower cost feedstocks can be profitably converted into clean syngas, which can then be used to produce a variety of high-value energy and chemical products.
12GF Score
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