Promate Electronic CoTPE:6189 +1.93%86 Interest Coverage is 5.95 as of Dec. 2025, which is 47% below its 10-year median of 11.15. GuruFocus rates TPE:6189 with a GF Score™ of 86/100 and a GF Value™ of NT$49.54 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,672 Hardware companies, Promate Electronic Co ranks worse than 62.32% 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. Promate Electronic Co's
Operating Income
for the
three
months ended in Dec. 2025 was NT$276 Mil. Promate Electronic Co's Interest Expense for the
three
months ended in Dec. 2025 was NT$-46 Mil.
Promate Electronic Co's interest coverage for the quarter that ended in Dec. 2025 was 5.95.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Promate Electronic Co's Interest Coverage or its related term are showing as below:
TPE:6189'
s Interest Coverage Range Over the Past 10 Years
Min: 7.25 Med: 11.15 Max: 24.43
Current: 8.44
TPE:6189's Interest Coverage is ranked worse than 62.32% of 1672
companies
in the Hardware industry
Industry Median: 13.73
vs TPE:6189: 8.44
Promate Electronic Co (TPE:6189) 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 .
Promate Electronic Co Interest Coverage Related Terms
Promate Electronic Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for Promate Electronic 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.
TPE:6189 vs SNX, ARW, AVT: Interest Coverage Comparison
For the Electronics & Computer Distribution subindustry, Promate Electronic 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.
Promate Electronic Co Interest Coverage vs Hardware Industry
For the Hardware industry and Technology sector, Promate Electronic Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Promate Electronic Co's Interest Coverage falls into.
Promate Electronic 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:
* 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.
Promate Electronic Co (TPE:6189) has a Interest Coverage of 5.95 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Promate Electronic Co and its competitors. This is 47% below median its historical median of 11.15. Over the past decade, Promate Electronic Co's Interest Coverage has ranged from 7.25 to 24.43. According to the industry distribution chart, Promate Electronic Co ranks #1042 out of 1672 companies in the Hardware industry, placing it in the top 62.3%.
Is Promate Electronic Co's Interest Coverage too high?
Promate Electronic Co's current Interest Coverage of 5.95 is 47% below median its 10-year median of 11.15. Over the past 10 years, this metric has ranged from a low of 7.25 to a high of 24.43. The Hardware industry median Interest Coverage is 13.73. Promate Electronic Co's value of 5.95 is 56.7% below this industry median. Based on the distribution chart, Promate Electronic Co ranks #1042 out of 1672 companies in the Hardware industry, which is below the industry midpoint. Overall, Promate Electronic Co has a GF Score™ of 86/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Promate Electronic Co's Interest Coverage compare to SNX and ARW?
According to the Hardware industry distribution chart, Promate Electronic Co ranks #1042 out of 1672 companies for Interest Coverage. This places Promate Electronic Co in the lower half of its industry. The industry median Interest Coverage is 13.73. Promate Electronic Co's value of 5.95 is 56.7% below this benchmark. Historically, Promate Electronic Co's own Interest Coverage has ranged from 7.25 to 24.43 over the past decade. While the company's 10-year median is 11.15 vs. the industry median of 13.73, Promate Electronic 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 Hardware company?
The median Interest Coverage among Hardware companies is 13.73, based on 1,672 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. Promate Electronic Co's current Interest Coverage of 5.95 is 56.7% 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 Promate Electronic Co and its competitors. For the Hardware industry, the median Interest Coverage is 13.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Promate Electronic Co's current Interest Coverage is 5.95, which is 47% below median its own 10-year median of 11.15. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Promate Electronic Co stock overvalued right now?
Based on GuruFocus' analysis, Promate Electronic Co (TPE:6189) is currently considered Fairly Valued. The stock's GF Value™ is NT$49.54, compared to a current price of NT$50.20 — trading 1.3% above its estimated fair value. The current Interest Coverage is 5.95, which is 47% below median its 10-year median of 11.15 and 56.7% below the Hardware industry median of 13.73. Promate Electronic Co's overall GF Score™ is 86/100 with 3 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 Promate Electronic Co (TPE:6189), the current Interest Coverage is 5.95 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 Promate Electronic Co (TPE:6189) Overvalued in 2026?
Based on GuruFocus' analysis, Promate Electronic Co stock appears to be overvalued.
The current stock price of NT$50.20 is trading 1.3% above its estimated GF Value™ of NT$49.54.
GuruFocus considers Promate Electronic Co to be Fairly Valued.
Key valuation signals for TPE:6189:
Interest Coverage: 5.95 (47% below median its 10-year median of 11.15)
GF Value™: NT$49.54 vs. price of NT$50.20 (1.3% above fair value)
Industry Position: 56.7% below the Hardware median (#1042 of 1672)
No single metric tells the full story. See the TPE:6189 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Promate Electronic Co Ltd company is mainly engaged in the distribution and sales of electronic/electrical components, sales of computer software and electrical products, and sales of electronic/electrical components. The company has these operating segments; Application specific and LCD Display Products, Linear/ Distributed Components, Image Processing ICs, Application specific ICs, and Others. It has two business divisions; China Region Manufacturing and distribution agents established in Mainland China and Hong Kong; and Non-China Region Manufacturing and distribution agents established outside Mainland China and Hong Kong, out of which it derives a majority of its revenue from the Non-China Region.
86GF Score
Get the complete analysis for TPE:6189
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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