Paragon Union BhdXKLS:9407 +5.73%54 Interest Coverage is 3.98 as of Mar. 2026, which is 55% above its 10-year median of 2.57. GuruFocus rates XKLS:9407 with a GF Score™ of 54/100 and a GF Value™ of RM4.03 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 1,067 Vehicles & Parts companies, Paragon Union Bhd ranks better than 55.67% 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. Paragon Union Bhd's
Operating Income
for the
three
months ended in Mar. 2026 was RM1.3 Mil. Paragon Union Bhd's Interest Expense for the
three
months ended in Mar. 2026 was RM-0.3 Mil.
Paragon Union Bhd's interest coverage for the quarter that ended in Mar. 2026 was 3.98.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Paragon Union Bhd's Interest Coverage or its related term are showing as below:
XKLS:9407'
s Interest Coverage Range Over the Past 10 Years
Min: 2.42 Med: 2.57 Max: 9.9
Current: 9.9
XKLS:9407's Interest Coverage is ranked better than 55.67% of 1067
companies
in the Vehicles & Parts industry
Industry Median: 8.31
vs XKLS:9407: 9.90
Paragon Union Bhd (XKLS:9407) 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 .
Paragon Union Bhd Interest Coverage Related Terms
Paragon Union Bhd Interest Coverage Historical Data
* Premium members only.
The historical data trend for Paragon Union Bhd'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.
XKLS:9407 vs ORLY, AZO: Interest Coverage Comparison
For the Auto Parts subindustry, Paragon Union Bhd'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.
Paragon Union Bhd Interest Coverage vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Paragon Union Bhd's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Paragon Union Bhd'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.
Paragon Union Bhd (XKLS:9407) has a Interest Coverage of 3.98 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Paragon Union Bhd and its competitors. This is 55% above median its historical median of 2.57. Over the past decade, Paragon Union Bhd's Interest Coverage has ranged from 2.42 to 9.90. According to the industry distribution chart, Paragon Union Bhd ranks #473 out of 1067 companies in the Vehicles & Parts industry, placing it in the top 44.3%.
Is Paragon Union Bhd's Interest Coverage too high?
Paragon Union Bhd's current Interest Coverage of 3.98 is 55% above median its 10-year median of 2.57. Over the past 10 years, this metric has ranged from a low of 2.42 to a high of 9.90. The Vehicles & Parts industry median Interest Coverage is 8.31. Paragon Union Bhd's value of 3.98 is 52.1% below this industry median. Based on the distribution chart, Paragon Union Bhd ranks #473 out of 1067 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, Paragon Union Bhd has a GF Score™ of 54/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Paragon Union Bhd's Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Paragon Union Bhd ranks #473 out of 1067 companies for Interest Coverage. This puts Paragon Union Bhd in the upper half of its industry. The industry median Interest Coverage is 8.31. Paragon Union Bhd's value of 3.98 is 52.1% below this benchmark. Historically, Paragon Union Bhd's own Interest Coverage has ranged from 2.42 to 9.90 over the past decade. While the company's 10-year median is 2.57 vs. the industry median of 8.31, Paragon Union Bhd 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 8.31, based on 1,067 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. Paragon Union Bhd's current Interest Coverage of 3.98 is 52.1% 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 Paragon Union Bhd and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paragon Union Bhd's current Interest Coverage is 3.98, which is 55% above median its own 10-year median of 2.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Paragon Union Bhd stock overvalued right now?
Based on GuruFocus' analysis, Paragon Union Bhd (XKLS:9407) is currently considered Significantly Undervalued. The stock's GF Value™ is RM4.03, compared to a current price of RM1.66 — trading 58.8% below its estimated fair value. The current Interest Coverage is 3.98, which is 55% above median its 10-year median of 2.57 and 52.1% below the Vehicles & Parts industry median of 8.31. Paragon Union Bhd's overall GF Score™ is 54/100 with 4 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 Paragon Union Bhd (XKLS:9407), the current Interest Coverage is 3.98 as of Mar. 2026. 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 Paragon Union Bhd (XKLS:9407) Overvalued in 2026?
Based on GuruFocus' analysis, Paragon Union Bhd stock appears to be undervalued.
The current stock price of RM1.66 is trading 58.8% below its estimated GF Value™ of RM4.03.
GuruFocus considers Paragon Union Bhd to be Significantly Undervalued.
Key valuation signals for XKLS:9407:
Interest Coverage: 3.98 (55% above median its 10-year median of 2.57)
GF Value™: RM4.03 vs. price of RM1.66 (58.8% below fair value)
Industry Position: 52.1% below the Vehicles & Parts median (#473 of 1067)
No single metric tells the full story. See the XKLS:9407 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Paragon Union Bhd, through its subsidiaries, engages in the manufacturing and distribution of commercial carpets, rugs, automotive carpets, and NVH components. It has three reportable business segments: Automotive, Recycling, and Commercial. The Automotive segment covers car carpets and components, while the Commercial segment produces commercial carpets. The Recycling segment includes metal recycling and waste management. The Automotive segment generates the highest revenue for the company. Geographically, the company operates in Malaysia, Australia, China, Hong Kong, and other markets, with the majority of revenue derived from Malaysia.
54GF Score
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