Alarum Technologies (XTAE:ALAR) Interest Coverage: 25.38 (As of Mar. 2026) — 1023% Above Median

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XTAE:ALAR Alarum Technologies Ltd XTAE:ALAR
52 GF Score
Price ₪0.59
GF Value ₪5.21
Valuation Possible Value Trap
! 7 Warning Signs
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What is Alarum Technologies Interest Coverage?

Alarum Technologies XTAE:ALAR +13.51% 52 Interest Coverage is 25.38 as of Mar. 2026, which is 1023% above its 10-year median of 2.26. GuruFocus rates XTAE:ALAR with a GF Score™ of 52/100 and a GF Value™ of ₪5.21 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 1,718 Software companies, Alarum Technologies ranks worse than 84.98% 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. Alarum Technologies's Operating Income for the three months ended in Mar. 2026 was ₪2.5 Mil. Alarum Technologies's Interest Expense for the three months ended in Mar. 2026 was ₪-0.1 Mil. Alarum Technologies's interest coverage for the quarter that ended in Mar. 2026 was 25.38. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Alarum Technologies's Interest Coverage or its related term are showing as below:

XTAE:ALAR' s Interest Coverage Range Over the Past 10 Years
Min: 1.93   Med: 2.26   Max: 18.08
Current: 3.17


XTAE:ALAR's Interest Coverage is ranked worse than
84.98% of 1718 companies
in the Software industry
Industry Median: 24.75 vs XTAE:ALAR: 3.17

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


Alarum Technologies  (XTAE:ALAR) 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 .


Alarum Technologies Interest Coverage Related Terms


Alarum Technologies Interest Coverage Historical Data

* Premium members only.

The historical data trend for Alarum Technologies'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.

Alarum Technologies Interest Coverage Chart

Alarum Technologies 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 0.00 0.00 1.93 18.09 2.25

Alarum Technologies Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 N/A N/A N/A 1.10 25.38

XTAE:ALAR vs MSFT, ORCL, PLTR: Interest Coverage Comparison

For the Software - Infrastructure subindustry, Alarum Technologies'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.


Alarum Technologies Interest Coverage vs Software Industry

For the Software industry and Technology sector, Alarum Technologies's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Alarum Technologies's Interest Coverage falls into.


XTAE:ALAR
52GF Score
Alarum Technologies Ltd XTAE:ALAR
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Alarum Technologies 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.

Alarum Technologies'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, Alarum Technologies's Interest Expense was ₪-0.6 Mil. Its Operating Income was ₪1.4 Mil. And its Long-Term Debt & Capital Lease Obligation was ₪5.9 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*1.427/-0.633
=2.25

Alarum Technologies's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Alarum Technologies's Interest Expense was ₪-0.1 Mil. Its Operating Income was ₪2.5 Mil. And its Long-Term Debt & Capital Lease Obligation was ₪5.4 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*2.462/-0.097
=25.38

* 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 25.38 mean?
Alarum Technologies (XTAE:ALAR) has a Interest Coverage of 25.38 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Alarum Technologies and its competitors. This is 1023% above median its historical median of 2.26. Over the past decade, Alarum Technologies' Interest Coverage has ranged from 1.93 to 18.08. According to the industry distribution chart, Alarum Technologies ranks #1460 out of 1718 companies in the Software industry, placing it in the top 85%.
Is Alarum Technologies' Interest Coverage too high?
Alarum Technologies' current Interest Coverage of 25.38 is 1023% above median its 10-year median of 2.26. Over the past 10 years, this metric has ranged from a low of 1.93 to a high of 18.08. The Software industry median Interest Coverage is 24.75. Alarum Technologies' value of 25.38 is 2.5% above this industry median. Based on the distribution chart, Alarum Technologies ranks #1460 out of 1718 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Alarum Technologies has a GF Score™ of 52/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Alarum Technologies' Interest Coverage compare to MSFT and ORCL?
According to the Software industry distribution chart, Alarum Technologies ranks #1460 out of 1718 companies for Interest Coverage. This places Alarum Technologies in the lower half of its industry. The industry median Interest Coverage is 24.75. Alarum Technologies' value of 25.38 is 2.5% above this benchmark. Historically, Alarum Technologies' own Interest Coverage has ranged from 1.93 to 18.08 over the past decade. While the company's 10-year median is 2.26 vs. the industry median of 24.75, Alarum Technologies 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 Software company?
The median Interest Coverage among Software companies is 24.75, based on 1,718 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. Alarum Technologies's current Interest Coverage of 25.38 is 2.5% 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 Alarum Technologies and its competitors. For the Software industry, the median Interest Coverage is 24.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alarum Technologies's current Interest Coverage is 25.38, which is 1023% above median its own 10-year median of 2.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alarum Technologies stock overvalued right now?
Based on GuruFocus' analysis, Alarum Technologies (XTAE:ALAR) is currently considered Possible Value Trap. The stock's GF Value™ is ₪5.21, compared to a current price of ₪0.59 — trading 88.7% below its estimated fair value. The current Interest Coverage is 25.38, which is 1023% above median its 10-year median of 2.26 and 2.5% above the Software industry median of 24.75. Alarum Technologies' overall GF Score™ is 52/100 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 Alarum Technologies (XTAE:ALAR), the current Interest Coverage is 25.38 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 Alarum Technologies (XTAE:ALAR) Overvalued in 2026?

Based on GuruFocus' analysis, Alarum Technologies stock appears to be undervalued. The current stock price of ₪0.59 is trading 88.7% below its estimated GF Value™ of ₪5.21. GuruFocus considers Alarum Technologies to be Possible Value Trap.

Key valuation signals for XTAE:ALAR:

  • Interest Coverage: 25.38 (1023% above median its 10-year median of 2.26)
  • GF Value™: ₪5.21 vs. price of ₪0.59 (88.7% below fair value)
  • GF Score™: 52/100 with 7 warning signs
  • Industry Position: 2.5% above the Software median (#1460 of 1718)

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


Alarum Technologies Business Description

Other Exchanges ALAR:USASGX:Germany
Address 8 Yitzhak Sade Street, Tel Aviv, ISR, 6777508
Alarum Technologies Ltd is a software-as-a-service (SaaS) provider operating mainly in the web data collection market, offering web data collection and a private internet browsing platform. The company's Web Data Collection products offer secure, fast, and anonymous IP Proxy Network Solutions & Services, or IPPN or IPPN Solutions, to its business customers which, in turn, enables them to anonymously and securely browse the internet as well as to collect data from any publicly available source on the web, for their business purpose. The company operates in one segment: web data collection. Geographically, it derives maximum revenue from China, followed by the United States, Europe, Hong Kong, Asia-Pacific, U.K. Virgin Islands, Israel, United Arab Emirates, Middle East & Africa and other.
52GF Score

Get the complete analysis for XTAE:ALAR

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

₪0.59
Price
₪5.21
GF Value