Solrom Holdings (XTAE:SLRM) Interest Coverage: 6.88 (As of Dec. 2025) — Near Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

XTAE:SLRM Solrom Holdings Ltd XTAE:SLRM
24 GF Score
Price ₪5.83
! 2 Warning Signs
View Full Analysis

What is Solrom Holdings Interest Coverage?

Solrom Holdings XTAE:SLRM +0.40% 24 Interest Coverage is 6.88 as of Dec. 2025, which is 9% above its 10-year median of 6.30. GuruFocus rates XTAE:SLRM with a GF Score™ of 24/100. The stock has 2 warning signs investors should review. Among 1,673 Hardware companies, Solrom Holdings ranks worse than 67.6% 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. Solrom Holdings's Operating Income for the six months ended in Dec. 2025 was ₪27.43 Mil. Solrom Holdings's Interest Expense for the six months ended in Dec. 2025 was ₪-3.99 Mil. Solrom Holdings's interest coverage for the quarter that ended in Dec. 2025 was 6.88. The higher the ratio, the stronger the company's financial strength is.

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

XTAE:SLRM' s Interest Coverage Range Over the Past 10 Years
Min: 4.16   Med: 6.3   Max: 6.88
Current: 6.88


XTAE:SLRM's Interest Coverage is ranked worse than
67.6% of 1673 companies
in the Hardware industry
Industry Median: 14.59 vs XTAE:SLRM: 6.88

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


Solrom Holdings  (XTAE:SLRM) 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 .


Solrom Holdings Interest Coverage Related Terms


Solrom Holdings Interest Coverage Historical Data

* Premium members only.

The historical data trend for Solrom Holdings'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.

Solrom Holdings Interest Coverage Chart

Solrom Holdings Annual Data
Trend Dec23 Dec24 Dec25
Interest Coverage
6.30 4.16 6.88

Solrom Holdings Semi-Annual Data
Dec23 Dec24 Dec25
Interest Coverage 6.30 4.16 6.88

XTAE:SLRM vs DELL, ANET, SNDK: Interest Coverage Comparison

For the Computer Hardware subindustry, Solrom Holdings'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.


Solrom Holdings Interest Coverage vs Hardware Industry

For the Hardware industry and Technology sector, Solrom Holdings's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Solrom Holdings's Interest Coverage falls into.


XTAE:SLRM
24GF Score
Solrom Holdings Ltd XTAE:SLRM
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Solrom Holdings 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.

Solrom Holdings'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, Solrom Holdings's Interest Expense was ₪-3.99 Mil. Its Operating Income was ₪27.43 Mil. And its Long-Term Debt & Capital Lease Obligation was ₪22.25 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*27.425/-3.985
=6.88

Solrom Holdings's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the six months ended in Dec. 2025, Solrom Holdings's Interest Expense was ₪-3.99 Mil. Its Operating Income was ₪27.43 Mil. And its Long-Term Debt & Capital Lease Obligation was ₪22.25 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*27.425/-3.985
=6.88

* 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 6.88 mean?
Solrom Holdings (XTAE:SLRM) has a Interest Coverage of 6.88 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Solrom Holdings and its competitors. This is near median its historical median of 6.30. Over the past decade, Solrom Holdings' Interest Coverage has ranged from 4.16 to 6.88. According to the industry distribution chart, Solrom Holdings ranks #1131 out of 1673 companies in the Hardware industry, placing it in the top 67.6%.
Is Solrom Holdings' Interest Coverage too high?
Solrom Holdings' current Interest Coverage of 6.88 is near median its 10-year median of 6.30. Over the past 10 years, this metric has ranged from a low of 4.16 to a high of 6.88. The Hardware industry median Interest Coverage is 14.59. Solrom Holdings' value of 6.88 is 52.8% below this industry median. Based on the distribution chart, Solrom Holdings ranks #1131 out of 1673 companies in the Hardware industry, which is below the industry midpoint. Overall, Solrom Holdings has a GF Score™ of 24/100, reflecting its overall financial health beyond just this single metric.
How does Solrom Holdings' Interest Coverage compare to DELL and ANET?
According to the Hardware industry distribution chart, Solrom Holdings ranks #1131 out of 1673 companies for Interest Coverage. This places Solrom Holdings in the lower half of its industry. The industry median Interest Coverage is 14.59. Solrom Holdings' value of 6.88 is 52.8% below this benchmark. Historically, Solrom Holdings' own Interest Coverage has ranged from 4.16 to 6.88 over the past decade. While the company's 10-year median is 6.30 vs. the industry median of 14.59, Solrom Holdings 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 14.59, based on 1,673 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. Solrom Holdings's current Interest Coverage of 6.88 is 52.8% 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 Solrom Holdings and its competitors. For the Hardware industry, the median Interest Coverage is 14.59 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Solrom Holdings's current Interest Coverage is 6.88, which is near median its own 10-year median of 6.30. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Solrom Holdings stock overvalued right now?
Solrom Holdings (XTAE:SLRM) has a current Interest Coverage of 6.88. The current Interest Coverage is 6.88, which is near median its 10-year median of 6.30 and 52.8% below the Hardware industry median of 14.59. Solrom Holdings' overall GF Score™ is 24/100 with 2 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 Solrom Holdings (XTAE:SLRM), the current Interest Coverage is 6.88 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.

Solrom Holdings Business Description

Address Kibbutz Kfar Masaryk, Rosh Haayin, ISR, 2520800
Solrom Holdings Ltd operates in the industrial-defense sector and is engaged, itself and through subsidiaries, in the development and manufacture of electronic and electromechanical systems, products, and equipment for military markets and defense companies, as well as in the development and manufacture of products based on QCL laser technology for military-defense applications. The group develops products for a variety of customers in the Israeli defense sector, which are integrated into national-level flagship projects currently being developed in the sea, land, air, and space.
24GF Score

Get the complete analysis for XTAE:SLRM

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

₪5.83
Price