Kenda Rubber Industrial Co (TPE:2106) Interest Coverage: 1.08 (As of Dec. 2025) — 72% Below Median


TPE:2106 Kenda Rubber Industrial Co Ltd TPE:2106
59 GF Score
Price NT$17.10
GF Value NT$27.61
Valuation Possible Value Trap
! 9 Warning Signs
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What is Kenda Rubber Industrial Co Interest Coverage?

Kenda Rubber Industrial Co TPE:2106 +1.48% 59 Interest Coverage is 1.08 as of Dec. 2025, which is 72% below its 10-year median of 3.88. GuruFocus rates TPE:2106 with a GF Score™ of 59/100 and a GF Value™ of NT$27.61 (Possible Value Trap). The stock has 9 warning signs investors should review. Among 1,066 Vehicles & Parts companies, Kenda Rubber Industrial Co ranks worse than 91.28% 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. Kenda Rubber Industrial Co's Operating Income for the three months ended in Dec. 2025 was NT$125 Mil. Kenda Rubber Industrial Co's Interest Expense for the three months ended in Dec. 2025 was NT$-116 Mil. Kenda Rubber Industrial Co's interest coverage for the quarter that ended in Dec. 2025 was 1.08. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Kenda Rubber Industrial Co Ltd interest coverage is 1.19, which is low.

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

TPE:2106' s Interest Coverage Range Over the Past 10 Years
Min: 0.64   Med: 3.88   Max: 19.71
Current: 1.19


TPE:2106's Interest Coverage is ranked worse than
91.28% of 1066 companies
in the Vehicles & Parts industry
Industry Median: 8.295 vs TPE:2106: 1.19

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


Kenda Rubber Industrial Co  (TPE:2106) 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 .


Kenda Rubber Industrial Co Interest Coverage Related Terms


Kenda Rubber Industrial Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Kenda Rubber Industrial 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.

Kenda Rubber Industrial Co Interest Coverage Chart

Kenda Rubber Industrial 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 9.36 0.64 2.31 3.27 1.19

Kenda Rubber Industrial Co Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 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 1.20 1.01 1.33 1.36 1.08

TPE:2106 vs ORLY, AZO: Interest Coverage Comparison

For the Auto Parts subindustry, Kenda Rubber Industrial 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.


Kenda Rubber Industrial Co Interest Coverage vs Vehicles & Parts Industry

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

* The bar in red indicates where Kenda Rubber Industrial Co's Interest Coverage falls into.


TPE:2106
59GF Score
Kenda Rubber Industrial Co Ltd TPE:2106
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kenda Rubber Industrial 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.

Kenda Rubber Industrial 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, Kenda Rubber Industrial Co's Interest Expense was NT$-485 Mil. Its Operating Income was NT$579 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$15,285 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*578.947/-485.329
=1.19

Kenda Rubber Industrial Co's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the three months ended in Dec. 2025, Kenda Rubber Industrial Co's Interest Expense was NT$-116 Mil. Its Operating Income was NT$125 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$15,285 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*124.636/-115.609
=1.08

* 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 1.08 mean?
Kenda Rubber Industrial Co (TPE:2106) has a Interest Coverage of 1.08 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Kenda Rubber Industrial Co and its competitors. This is 72% below median its historical median of 3.88. Over the past decade, Kenda Rubber Industrial Co's Interest Coverage has ranged from 0.64 to 19.71. According to the industry distribution chart, Kenda Rubber Industrial Co ranks #973 out of 1066 companies in the Vehicles & Parts industry, placing it in the top 91.3%.
Is Kenda Rubber Industrial Co's Interest Coverage too high?
Kenda Rubber Industrial Co's current Interest Coverage of 1.08 is 72% below median its 10-year median of 3.88. Over the past 10 years, this metric has ranged from a low of 0.64 to a high of 19.71. The Vehicles & Parts industry median Interest Coverage is 8.30. Kenda Rubber Industrial Co's value of 1.08 is 87% below this industry median. Based on the distribution chart, Kenda Rubber Industrial Co ranks #973 out of 1066 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Kenda Rubber Industrial Co has a GF Score™ of 59/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Kenda Rubber Industrial Co's Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Kenda Rubber Industrial Co ranks #973 out of 1066 companies for Interest Coverage. This places Kenda Rubber Industrial Co in the lower half of its industry. The industry median Interest Coverage is 8.30. Kenda Rubber Industrial Co's value of 1.08 is 87% below this benchmark. Historically, Kenda Rubber Industrial Co's own Interest Coverage has ranged from 0.64 to 19.71 over the past decade. While the company's 10-year median is 3.88 vs. the industry median of 8.30, Kenda Rubber Industrial 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.30, based on 1,066 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. Kenda Rubber Industrial Co's current Interest Coverage of 1.08 is 87% 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 Kenda Rubber Industrial Co and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kenda Rubber Industrial Co's current Interest Coverage is 1.08, which is 72% below median its own 10-year median of 3.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kenda Rubber Industrial Co stock overvalued right now?
Based on GuruFocus' analysis, Kenda Rubber Industrial Co (TPE:2106) is currently considered Possible Value Trap. The stock's GF Value™ is NT$27.61, compared to a current price of NT$17.10 — trading 38.1% below its estimated fair value. The current Interest Coverage is 1.08, which is 72% below median its 10-year median of 3.88 and 87% below the Vehicles & Parts industry median of 8.30. Kenda Rubber Industrial Co's overall GF Score™ is 59/100 with 9 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 Kenda Rubber Industrial Co (TPE:2106), the current Interest Coverage is 1.08 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 Kenda Rubber Industrial Co (TPE:2106) Overvalued in 2026?

Based on GuruFocus' analysis, Kenda Rubber Industrial Co stock appears to be undervalued. The current stock price of NT$17.10 is trading 38.1% below its estimated GF Value™ of NT$27.61. GuruFocus considers Kenda Rubber Industrial Co to be Possible Value Trap.

Key valuation signals for TPE:2106:

  • Interest Coverage: 1.08 (72% below median its 10-year median of 3.88)
  • GF Value™: NT$27.61 vs. price of NT$17.10 (38.1% below fair value)
  • GF Score™: 59/100 with 9 warning signs
  • Industry Position: 87% below the Vehicles & Parts median (#973 of 1066)

No single metric tells the full story. See the TPE:2106 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kenda Rubber Industrial Co Business Description

Address Zhongshan Road, No. 146, Section 1, Changhua County, Yuanlin, TWN, 510
Kenda Rubber Industrial Co Ltd is engaged in the manufacturing and trading of rubber products such as inner tubes and tires of bicycles, scooters, industrial trucks, cars, and various products of carbon fiber. The company operates in four geographical areas such as China, the united states, Taiwan and Vietnam. The majority of the revenue is earn from united states.
59GF Score

Get the complete analysis for TPE:2106

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

NT$17.10
Price
NT$27.61
GF Value