Tex Year Industries Co (TPE:4720) Interest Coverage: 5.41 (As of Dec. 2025) — Near Median


TPE:4720 Tex Year Industries Co Ltd TPE:4720
76 GF Score
Price NT$23.85
GF Value NT$21.49
Valuation Modestly Overvalued
! 7 Warning Signs
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What is Tex Year Industries Co Interest Coverage?

Tex Year Industries Co TPE:4720 -0.21% 76 Interest Coverage is 5.41 as of Dec. 2025, which is 8% below its 10-year median of 5.86. GuruFocus rates TPE:4720 with a GF Score™ of 76/100 and a GF Value™ of NT$21.49 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 1,231 Chemicals companies, Tex Year Industries Co ranks worse than 58.73% 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. Tex Year Industries Co's Operating Income for the three months ended in Dec. 2025 was NT$29 Mil. Tex Year Industries Co's Interest Expense for the three months ended in Dec. 2025 was NT$-5 Mil. Tex Year Industries Co's interest coverage for the quarter that ended in Dec. 2025 was 5.41. The higher the ratio, the stronger the company's financial strength is.

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

TPE:4720' s Interest Coverage Range Over the Past 10 Years
Min: 1.26   Med: 5.86   Max: 22.06
Current: 6.9


TPE:4720's Interest Coverage is ranked worse than
58.73% of 1231 companies
in the Chemicals industry
Industry Median: 10.15 vs TPE:4720: 6.90

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


Tex Year Industries Co  (TPE:4720) 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 .


Tex Year Industries Co Interest Coverage Related Terms


Tex Year Industries Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Tex Year Industries 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.

Tex Year Industries Co Interest Coverage Chart

Tex Year Industries 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 5.12 0.00 1.26 11.43 6.90

Tex Year Industries 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 8.57 12.24 9.17 3.03 5.41

TPE:4720 vs LIN, SHW, ECL: Interest Coverage Comparison

For the Specialty Chemicals subindustry, Tex Year Industries 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.


Tex Year Industries Co Interest Coverage vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Tex Year Industries Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Tex Year Industries Co's Interest Coverage falls into.


TPE:4720
76GF Score
Tex Year Industries Co Ltd TPE:4720
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Tex Year Industries 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.

Tex Year Industries 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, Tex Year Industries Co's Interest Expense was NT$-18 Mil. Its Operating Income was NT$126 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$315 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*126.44/-18.333
=6.90

Tex Year Industries Co's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the three months ended in Dec. 2025, Tex Year Industries Co's Interest Expense was NT$-5 Mil. Its Operating Income was NT$29 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$315 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*29.276/-5.409
=5.41

* 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 5.41 mean?
Tex Year Industries Co (TPE:4720) has a Interest Coverage of 5.41 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Tex Year Industries Co and its competitors. This is near median its historical median of 5.86. Over the past decade, Tex Year Industries Co's Interest Coverage has ranged from 1.26 to 22.06. According to the industry distribution chart, Tex Year Industries Co ranks #723 out of 1231 companies in the Chemicals industry, placing it in the top 58.7%.
Is Tex Year Industries Co's Interest Coverage too high?
Tex Year Industries Co's current Interest Coverage of 5.41 is near median its 10-year median of 5.86. Over the past 10 years, this metric has ranged from a low of 1.26 to a high of 22.06. The Chemicals industry median Interest Coverage is 10.15. Tex Year Industries Co's value of 5.41 is 46.7% below this industry median. Based on the distribution chart, Tex Year Industries Co ranks #723 out of 1231 companies in the Chemicals industry, which is below the industry midpoint. Overall, Tex Year Industries Co has a GF Score™ of 76/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tex Year Industries Co's Interest Coverage compare to LIN and SHW?
According to the Chemicals industry distribution chart, Tex Year Industries Co ranks #723 out of 1231 companies for Interest Coverage. This places Tex Year Industries Co in the lower half of its industry. The industry median Interest Coverage is 10.15. Tex Year Industries Co's value of 5.41 is 46.7% below this benchmark. Historically, Tex Year Industries Co's own Interest Coverage has ranged from 1.26 to 22.06 over the past decade. While the company's 10-year median is 5.86 vs. the industry median of 10.15, Tex Year Industries 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 Chemicals company?
The median Interest Coverage among Chemicals companies is 10.15, based on 1,231 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. Tex Year Industries Co's current Interest Coverage of 5.41 is 46.7% 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 Tex Year Industries Co and its competitors. For the Chemicals industry, the median Interest Coverage is 10.15 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tex Year Industries Co's current Interest Coverage is 5.41, which is near median its own 10-year median of 5.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tex Year Industries Co stock overvalued right now?
Based on GuruFocus' analysis, Tex Year Industries Co (TPE:4720) is currently considered Modestly Overvalued. The stock's GF Value™ is NT$21.49, compared to a current price of NT$23.85 — trading 11% above its estimated fair value. The current Interest Coverage is 5.41, which is near median its 10-year median of 5.86 and 46.7% below the Chemicals industry median of 10.15. Tex Year Industries Co's overall GF Score™ is 76/100 with 7 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 Tex Year Industries Co (TPE:4720), the current Interest Coverage is 5.41 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 Tex Year Industries Co (TPE:4720) Overvalued in 2026?

Based on GuruFocus' analysis, Tex Year Industries Co stock appears to be overvalued. The current stock price of NT$23.85 is trading 11% above its estimated GF Value™ of NT$21.49. GuruFocus considers Tex Year Industries Co to be Modestly Overvalued.

Key valuation signals for TPE:4720:

  • Interest Coverage: 5.41 (near median its 10-year median of 5.86)
  • GF Value™: NT$21.49 vs. price of NT$23.85 (11% above fair value)
  • GF Score™: 76/100 with 7 warning signs
  • Industry Position: 46.7% below the Chemicals median (#723 of 1231)

No single metric tells the full story. See the TPE:4720 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Tex Year Industries Co Business Description

Address No. 9, Wuquan 6th Road, Wugu District, Wugu District, New Taipei City, TWN, 248
Tex Year Industries Co Ltd is engaged in the production and sales of eco-friendly hot melt adhesive and other adhesives, special chemicals for the electronic industry, the production and sales of air filter materials, trading of medical equipment, and biodegradable products, and the production and sales of green materials and solutions. Its products include hot melt adhesive, specialty chemicals, dental supplies, vibrating equipment, WE know filtration, water-based pressure sensitive, and UV/visible light curing glue. Its segments include the chemical business in Taiwan, the mainland China business and others of which the mainland China business generates the majority of the revenue.
76GF Score

Get the complete analysis for TPE:4720

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

NT$23.85
Price
NT$21.49
GF Value