Ruentex Engineeringnstruction Co (TPE:2597) Interest Coverage: 53.99 (As of Dec. 2025) — 48% Above Median

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TPE:2597 Ruentex Engineering & Construction Co TPE:2597
94 GF Score
Price NT$163.50
GF Value NT$162.95
Valuation Fairly Valued
! 1 Warning Sign
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What is Ruentex Engineeringnstruction Co Interest Coverage?

Ruentex Engineeringnstruction Co TPE:2597 -2.97% 94 Interest Coverage is 53.99 as of Dec. 2025, which is 48% above its 10-year median of 36.51. GuruFocus rates TPE:2597 with a GF Score™ of 94/100 and a GF Value™ of NT$162.95 (Fairly Valued). The stock has 1 warning sign investors should review. Among 1,359 Construction companies, Ruentex Engineeringnstruction Co ranks better than 77.48% 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. Ruentex Engineeringnstruction Co's Operating Income for the three months ended in Dec. 2025 was NT$1,490 Mil. Ruentex Engineeringnstruction Co's Interest Expense for the three months ended in Dec. 2025 was NT$-28 Mil. Ruentex Engineeringnstruction Co's interest coverage for the quarter that ended in Dec. 2025 was 53.99. The higher the ratio, the stronger the company's financial strength is.

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

TPE:2597' s Interest Coverage Range Over the Past 10 Years
Min: 20.8   Med: 36.51   Max: 84.03
Current: 37.96


TPE:2597's Interest Coverage is ranked better than
77.48% of 1359 companies
in the Construction industry
Industry Median: 7.81 vs TPE:2597: 37.96

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


Ruentex Engineeringnstruction Co  (TPE:2597) 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 .


Ruentex Engineeringnstruction Co Interest Coverage Related Terms


Ruentex Engineeringnstruction Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Ruentex Engineeringnstruction 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.

Ruentex Engineeringnstruction Co Interest Coverage Chart

Ruentex Engineeringnstruction 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 84.03 36.34 20.80 36.34 37.96

Ruentex Engineeringnstruction 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 53.44 25.92 35.58 36.57 53.99

TPE:2597 vs PWR, FIX, EME: Interest Coverage Comparison

For the Engineering & Construction subindustry, Ruentex Engineeringnstruction 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.


Ruentex Engineeringnstruction Co Interest Coverage vs Construction Industry

For the Construction industry and Industrials sector, Ruentex Engineeringnstruction Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Ruentex Engineeringnstruction Co's Interest Coverage falls into.


TPE:2597
94GF Score
Ruentex Engineering & Construction Co TPE:2597
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Ruentex Engineeringnstruction 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.

Ruentex Engineeringnstruction 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, Ruentex Engineeringnstruction Co's Interest Expense was NT$-113 Mil. Its Operating Income was NT$4,294 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$3,912 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*4293.559/-113.117
=37.96

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

Here, for the three months ended in Dec. 2025, Ruentex Engineeringnstruction Co's Interest Expense was NT$-28 Mil. Its Operating Income was NT$1,490 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$3,912 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*1490.459/-27.606
=53.99

* 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 53.99 mean?
Ruentex Engineeringnstruction Co (TPE:2597) has a Interest Coverage of 53.99 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Ruentex Engineeringnstruction Co and its competitors. This is 48% above median its historical median of 36.51. Over the past decade, Ruentex Engineeringnstruction Co's Interest Coverage has ranged from 20.80 to 84.03. According to the industry distribution chart, Ruentex Engineeringnstruction Co ranks #306 out of 1359 companies in the Construction industry, placing it in the top 22.5%.
Is Ruentex Engineeringnstruction Co's Interest Coverage too high?
Ruentex Engineeringnstruction Co's current Interest Coverage of 53.99 is 48% above median its 10-year median of 36.51. Over the past 10 years, this metric has ranged from a low of 20.80 to a high of 84.03. The Construction industry median Interest Coverage is 7.81. Ruentex Engineeringnstruction Co's value of 53.99 is 591.3% above this industry median. Based on the distribution chart, Ruentex Engineeringnstruction Co ranks #306 out of 1359 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Ruentex Engineeringnstruction Co has a GF Score™ of 94/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Ruentex Engineeringnstruction Co's Interest Coverage compare to PWR and FIX?
According to the Construction industry distribution chart, Ruentex Engineeringnstruction Co ranks #306 out of 1359 companies for Interest Coverage. This places Ruentex Engineeringnstruction Co in the top 23% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 7.81. Ruentex Engineeringnstruction Co's value of 53.99 is 591.3% above this benchmark. Historically, Ruentex Engineeringnstruction Co's own Interest Coverage has ranged from 20.80 to 84.03 over the past decade. While the company's 10-year median is 36.51 vs. the industry median of 7.81, Ruentex Engineeringnstruction 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 Construction company?
The median Interest Coverage among Construction companies is 7.81, based on 1,359 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. Ruentex Engineeringnstruction Co's current Interest Coverage of 53.99 is 591.3% 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 Ruentex Engineeringnstruction Co and its competitors. For the Construction industry, the median Interest Coverage is 7.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ruentex Engineeringnstruction Co's current Interest Coverage is 53.99, which is 48% above median its own 10-year median of 36.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ruentex Engineeringnstruction Co stock overvalued right now?
Based on GuruFocus' analysis, Ruentex Engineeringnstruction Co (TPE:2597) is currently considered Fairly Valued. The stock's GF Value™ is NT$162.95, compared to a current price of NT$163.50 — trading 0.3% above its estimated fair value. The current Interest Coverage is 53.99, which is 48% above median its 10-year median of 36.51 and 591.3% above the Construction industry median of 7.81. Ruentex Engineeringnstruction Co's overall GF Score™ is 94/100 with 1 warning sign 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 Ruentex Engineeringnstruction Co (TPE:2597), the current Interest Coverage is 53.99 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 Ruentex Engineeringnstruction Co (TPE:2597) Overvalued in 2026?

Based on GuruFocus' analysis, Ruentex Engineeringnstruction Co stock appears to be overvalued. The current stock price of NT$163.50 is trading 0.3% above its estimated GF Value™ of NT$162.95. GuruFocus considers Ruentex Engineeringnstruction Co to be Fairly Valued.

Key valuation signals for TPE:2597:

  • Interest Coverage: 53.99 (48% above median its 10-year median of 36.51)
  • GF Value™: NT$162.95 vs. price of NT$163.50 (0.3% above fair value)
  • GF Score™: 94/100 with 1 warning sign
  • Industry Position: 591.3% above the Construction median (#306 of 1359)

No single metric tells the full story. See the TPE:2597 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Ruentex Engineeringnstruction Co Business Description

Address No. 308, Bade Road, 10th Foor, Section 2, Jhongshan District, Taipei, TWN, 104
Ruentex Engineering & Construction Co is a Taiwan-based company that engages in the contracting, designing, and constructing of construction and civil engineering. It designs and constructs projects like residential buildings, office buildings, school buildings, factories, and parking lots, among others. The company's segments include Construction Business Division, Building Materials Division, and Interior Decoration Design Division. It generates the majority of its revenue from the Construction Business Division.
94GF Score

Get the complete analysis for TPE:2597

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

NT$163.50
Price
NT$162.95
GF Value