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Paragon GmbH KGaAXTER:PGN +0.60%52 Interest Coverage is 0.85 as of Sep. 2025, which is 30% below its 10-year median of 1.21. GuruFocus rates XTER:PGN with a GF Score™ of 52/100 and a GF Value™ of €3.03 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 1,067 Vehicles & Parts companies, Paragon GmbH KGaA ranks worse than 90.44% 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 GmbH KGaA's
Operating Income
for the
three
months ended in Sep. 2025 was €1.4 Mil. Paragon GmbH KGaA's Interest Expense for the
three
months ended in Sep. 2025 was €-1.6 Mil.
Paragon GmbH KGaA's interest coverage for the quarter that ended in Sep. 2025 was 0.85.
The higher the ratio, the stronger the company's financial strength is.
Warning Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Paragon GmbH & Co KGaA interest coverage is 1.26, which is low.
The historical rank and industry rank for Paragon GmbH KGaA's Interest Coverage or its related term are showing as below:
XTER:PGN'
s Interest Coverage Range Over the Past 10 Years
Min: 0.14 Med: 1.21 Max: 4.35
Current: 1.26
XTER:PGN's Interest Coverage is ranked worse than 90.44% of 1067
companies
in the Vehicles & Parts industry
Industry Median: 8.36
vs XTER:PGN: 1.26
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 GmbH KGaA Interest Coverage Related Terms
Paragon GmbH KGaA Interest Coverage Historical Data
* Premium members only.
The historical data trend for Paragon GmbH KGaA'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.
XTER:PGN vs ORLY, AZO, GPC: Interest Coverage Comparison
For the Auto Parts subindustry, Paragon GmbH KGaA'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 GmbH KGaA Interest Coverage vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Paragon GmbH KGaA's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Paragon GmbH KGaA'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 GmbH KGaA (XTER:PGN) has a Interest Coverage of 0.85 as of Sep. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Paragon GmbH KGaA and its competitors. This is 30% below median its historical median of 1.21. Over the past decade, Paragon GmbH KGaA's Interest Coverage has ranged from 0.14 to 4.35. According to the industry distribution chart, Paragon GmbH KGaA ranks #965 out of 1067 companies in the Vehicles & Parts industry, placing it in the top 90.4%.
Is Paragon GmbH KGaA's Interest Coverage too high?
Paragon GmbH KGaA's current Interest Coverage of 0.85 is 30% below median its 10-year median of 1.21. Over the past 10 years, this metric has ranged from a low of 0.14 to a high of 4.35. The Vehicles & Parts industry median Interest Coverage is 8.36. Paragon GmbH KGaA's value of 0.85 is 89.8% below this industry median. Based on the distribution chart, Paragon GmbH KGaA ranks #965 out of 1067 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Paragon GmbH KGaA 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 Paragon GmbH KGaA's Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Paragon GmbH KGaA ranks #965 out of 1067 companies for Interest Coverage. This places Paragon GmbH KGaA in the lower half of its industry. The industry median Interest Coverage is 8.36. Paragon GmbH KGaA's value of 0.85 is 89.8% below this benchmark. Historically, Paragon GmbH KGaA's own Interest Coverage has ranged from 0.14 to 4.35 over the past decade. While the company's 10-year median is 1.21 vs. the industry median of 8.36, Paragon GmbH KGaA 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 8.36, 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 GmbH KGaA's current Interest Coverage of 0.85 is 89.8% 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 Paragon GmbH KGaA and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paragon GmbH KGaA's current Interest Coverage is 0.85, which is 30% below median its own 10-year median of 1.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Paragon GmbH KGaA stock overvalued right now?
Based on GuruFocus' analysis, Paragon GmbH KGaA (XTER:PGN) is currently considered Possible Value Trap. The stock's GF Value™ is €3.03, compared to a current price of €1.67 — trading 45% below its estimated fair value. The current Interest Coverage is 0.85, which is 30% below median its 10-year median of 1.21 and 89.8% below the Vehicles & Parts industry median of 8.36. Paragon GmbH KGaA's overall GF Score™ is 52/100 with 5 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 GmbH KGaA (XTER:PGN), the current Interest Coverage is 0.85 as of Sep. 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 Paragon GmbH KGaA (XTER:PGN) Overvalued in 2026?
Based on GuruFocus' analysis, Paragon GmbH KGaA stock appears to be undervalued.
The current stock price of €1.67 is trading 45% below its estimated GF Value™ of €3.03.
GuruFocus considers Paragon GmbH KGaA to be Possible Value Trap.
Key valuation signals for XTER:PGN:
Interest Coverage: 0.85 (30% below median its 10-year median of 1.21)
GF Value™: €3.03 vs. price of €1.67 (45% below fair value)
Industry Position: 89.8% below the Vehicles & Parts median (#965 of 1067)
No single metric tells the full story. See the XTER:PGN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Paragon GmbH & Co KGaA develops and manufactures electronic components and sensors for the automotive industry. The business activity of the firm is operated in two segments namely Electronics and Mechanics. The Electronics segment that derives the majority of revenue sells air-quality sensors, high-end acoustic systems, and display instruments. The Mechanics segment focuses on adjustable body components such as adaptively extendable spoilers. Geographically all the activity of the firm functions through Germany, however, it also holds a presence at the international level.
52GF Score
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Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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