Hotai Finance CoTPE:6592 +3.90%86 Interest Coverage is 927.77 as of Dec. 2025, which is 8% below its 10-year median of 1,004.70. GuruFocus rates TPE:6592 with a GF Score™ of 86/100 and a GF Value™ of NT$81.32 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 166 Credit Services companies, Hotai Finance Co ranks better than 63.25% 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. Hotai Finance Co's
Operating Income
for the
three
months ended in Dec. 2025 was NT$2,076 Mil. Hotai Finance Co's Interest Expense for the
three
months ended in Dec. 2025 was NT$-2 Mil.
Hotai Finance Co's interest coverage for the quarter that ended in Dec. 2025 was 927.77.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Hotai Finance Co's Interest Coverage or its related term are showing as below:
TPE:6592'
s Interest Coverage Range Over the Past 10 Years
Min: 502.66 Med: 1004.7 Max: No Debt
Current: 1004.7
TPE:6592's Interest Coverage is ranked better than 63.25% of 166
companies
in the Credit Services industry
Industry Median: 49.41
vs TPE:6592: 1004.70
Hotai Finance Co (TPE:6592) 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 .
Hotai Finance Co Interest Coverage Related Terms
Hotai Finance Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for Hotai Finance 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:6592 vs V, MA, AXP: Interest Coverage Comparison
For the Credit Services subindustry, Hotai Finance 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.
Hotai Finance Co Interest Coverage vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Hotai Finance Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Hotai Finance Co's Interest Coverage falls into.
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.
Hotai Finance Co (TPE:6592) has a Interest Coverage of 927.77 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Hotai Finance Co and its competitors. This is near median its historical median of 1,004.70. Over the past decade, Hotai Finance Co's Interest Coverage has ranged from 502.66 to 10,000.00. According to the industry distribution chart, Hotai Finance Co ranks #61 out of 166 companies in the Credit Services industry, placing it in the top 36.7%.
Is Hotai Finance Co's Interest Coverage too high?
Hotai Finance Co's current Interest Coverage of 927.77 is near median its 10-year median of 1,004.70. Over the past 10 years, this metric has ranged from a low of 502.66 to a high of 10,000.00. The Credit Services industry median Interest Coverage is 49.41. Hotai Finance Co's value of 927.77 is 1777.7% above this industry median. Based on the distribution chart, Hotai Finance Co ranks #61 out of 166 companies in the Credit Services industry, which is above the industry midpoint. Overall, Hotai Finance Co has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hotai Finance Co's Interest Coverage compare to V and MA?
According to the Credit Services industry distribution chart, Hotai Finance Co ranks #61 out of 166 companies for Interest Coverage. This puts Hotai Finance Co in the upper half of its industry. The industry median Interest Coverage is 49.41. Hotai Finance Co's value of 927.77 is 1777.7% above this benchmark. Historically, Hotai Finance Co's own Interest Coverage has ranged from 502.66 to 10,000.00 over the past decade. While the company's 10-year median is 1,004.70 vs. the industry median of 49.41, Hotai Finance 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 Credit Services company?
The median Interest Coverage among Credit Services companies is 49.41, based on 166 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. Hotai Finance Co's current Interest Coverage of 927.77 is 1777.7% 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 Hotai Finance Co and its competitors. For the Credit Services industry, the median Interest Coverage is 49.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hotai Finance Co's current Interest Coverage is 927.77, which is near median its own 10-year median of 1,004.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hotai Finance Co stock overvalued right now?
Based on GuruFocus' analysis, Hotai Finance Co (TPE:6592) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$81.32, compared to a current price of NT$61.30 — trading 24.6% below its estimated fair value. The current Interest Coverage is 927.77, which is near median its 10-year median of 1,004.70 and 1777.7% above the Credit Services industry median of 49.41. Hotai Finance Co's overall GF Score™ is 86/100 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 Hotai Finance Co (TPE:6592), the current Interest Coverage is 927.77 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 Hotai Finance Co (TPE:6592) Overvalued in 2026?
Based on GuruFocus' analysis, Hotai Finance Co stock appears to be undervalued.
The current stock price of NT$61.30 is trading 24.6% below its estimated GF Value™ of NT$81.32.
GuruFocus considers Hotai Finance Co to be Modestly Undervalued.
Key valuation signals for TPE:6592:
Interest Coverage: 927.77 (near median its 10-year median of 1,004.70)
GF Value™: NT$81.32 vs. price of NT$61.30 (24.6% below fair value)
Industry Position: 1777.7% above the Credit Services median (#61 of 166)
No single metric tells the full story. See the TPE:6592 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hotai Finance Co Ltd is a Taiwan-based full-service financing company. It is engaged in the installment sales and leases of vehicles and equipment. The company offers products and services such as an Installment loan for a new car, used car, motorcycle & scooter, and others. The company's geographical segment consists of Taiwan and China. The company generates the majority of its revenue from Taiwan.
86GF Score
Get the complete analysis for TPE:6592
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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