Neway CNC Equipment (Suzhou) Co (SHSE:688697) Debt-to-EBITDA : 1.50 (As of Mar. 2026) — 70% Above Median

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SHSE:688697 Neway CNC Equipment (Suzhou) Co Ltd SHSE:688697
88 GF Score
Price ¥15.49
GF Value ¥13.27
Valuation Modestly Overvalued
! 2 Warning Signs
View Full Analysis

What is Neway CNC Equipment (Suzhou) Co Debt-to-EBITDA?

Neway CNC Equipment (Suzhou) Co SHSE:688697 +7.35% 88 Debt-to-EBITDA is 1.50 as of Mar. 2026, which is 70% above its 10-year median of 0.88. GuruFocus rates SHSE:688697 with a GF Score™ of 88/100 and a GF Value™ of ¥13.27 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 2,350 Industrial Products companies, Neway CNC Equipment (Suzhou) Co ranks better than 57.23% on this metric.

Debt-to-EBITDA measures a company's ability to pay off its debt.

Neway CNC Equipment (Suzhou) Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was ¥443 Mil. Neway CNC Equipment (Suzhou) Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was ¥0 Mil. Neway CNC Equipment (Suzhou) Co's annualized EBITDA for the quarter that ended in Mar. 2026 was ¥296 Mil. Neway CNC Equipment (Suzhou) Co's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was 1.50.

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.

The historical rank and industry rank for Neway CNC Equipment (Suzhou) Co's Debt-to-EBITDA or its related term are showing as below:

SHSE:688697' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.39   Med: 0.88   Max: 5
Current: 1.28

During the past 9 years, the highest Debt-to-EBITDA Ratio of Neway CNC Equipment (Suzhou) Co was 5.00. The lowest was 0.39. And the median was 0.88.

SHSE:688697's Debt-to-EBITDA is ranked better than
57.23% of 2350 companies
in the Industrial Products industry
Industry Median: 1.695 vs SHSE:688697: 1.28

Neway CNC Equipment (Suzhou) Co  (SHSE:688697) Debt-to-EBITDA Explanation

In the calculation of Debt-to-EBITDA, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by EBITDA. In some calculations, Total Liabilities is used to for calculation.


Be Aware

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.

According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.


Neway CNC Equipment (Suzhou) Co Debt-to-EBITDA Related Terms


Neway CNC Equipment (Suzhou) Co Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Neway CNC Equipment (Suzhou) Co's Debt-to-EBITDA 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.

Neway CNC Equipment (Suzhou) Co Debt-to-EBITDA Chart

Neway CNC Equipment (Suzhou) Co Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only 0.39 0.71 0.88 0.73 1.00

Neway CNC Equipment (Suzhou) Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Debt-to-EBITDA 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 1.36 1.24 1.10 0.92 1.50

SHSE:688697 vs GEV, ETN, PH: Debt-to-EBITDA Comparison

For the Specialty Industrial Machinery subindustry, Neway CNC Equipment (Suzhou) Co's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA 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.


Neway CNC Equipment (Suzhou) Co Debt-to-EBITDA vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Neway CNC Equipment (Suzhou) Co's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Neway CNC Equipment (Suzhou) Co's Debt-to-EBITDA falls into.


SHSE:688697
88GF Score
Neway CNC Equipment (Suzhou) Co Ltd SHSE:688697
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Neway CNC Equipment (Suzhou) Co Debt-to-EBITDA Calculation

Debt-to-EBITDA measures a company's ability to pay off its debt.

Neway CNC Equipment (Suzhou) Co's Debt-to-EBITDA for the fiscal year that ended in Dec. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(400.258 + 0) / 402.02
=1.00

Neway CNC Equipment (Suzhou) Co's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(443.383 + 0) / 296.38
=1.50

* 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.

In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data, the EBITDA data used here is four times the quarterly (Mar. 2026) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 1.50 mean?
Neway CNC Equipment (Suzhou) Co (SHSE:688697) has a Debt-to-EBITDA of 1.50 as of Mar. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Neway CNC Equipment (Suzhou) Co. This is 70% above median its historical median of 0.88. Over the past decade, Neway CNC Equipment (Suzhou) Co's Debt-to-EBITDA has ranged from 0.39 to 5.00. According to the industry distribution chart, Neway CNC Equipment (Suzhou) Co ranks #1005 out of 2350 companies in the Industrial Products industry, placing it in the top 42.8%.
Is Neway CNC Equipment (Suzhou) Co's Debt-to-EBITDA too high?
Neway CNC Equipment (Suzhou) Co's current Debt-to-EBITDA of 1.50 is 70% above median its 10-year median of 0.88. Over the past 10 years, this metric has ranged from a low of 0.39 to a high of 5.00. The Industrial Products industry median Debt-to-EBITDA is 1.70. Neway CNC Equipment (Suzhou) Co's value of 1.50 is 11.5% below this industry median. Based on the distribution chart, Neway CNC Equipment (Suzhou) Co ranks #1005 out of 2350 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Neway CNC Equipment (Suzhou) Co has a GF Score™ of 88/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Neway CNC Equipment (Suzhou) Co's Debt-to-EBITDA compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Neway CNC Equipment (Suzhou) Co ranks #1005 out of 2350 companies for Debt-to-EBITDA. This puts Neway CNC Equipment (Suzhou) Co in the upper half of its industry. The industry median Debt-to-EBITDA is 1.70. Neway CNC Equipment (Suzhou) Co's value of 1.50 is 11.5% below this benchmark. Historically, Neway CNC Equipment (Suzhou) Co's own Debt-to-EBITDA has ranged from 0.39 to 5.00 over the past decade. While the company's 10-year median is 0.88 vs. the industry median of 1.70, Neway CNC Equipment (Suzhou) Co 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 Debt-to-EBITDA for an Industrial Products company?
The median Debt-to-EBITDA among Industrial Products companies is 1.70, based on 2,350 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Neway CNC Equipment (Suzhou) Co's current Debt-to-EBITDA of 1.50 is 11.5% 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 Debt-to-EBITDA mean?
A high Debt-to-EBITDA can signal that a stock is expensive relative to its fundamentals. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Neway CNC Equipment (Suzhou) Co. For the Industrial Products industry, the median Debt-to-EBITDA is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Neway CNC Equipment (Suzhou) Co's current Debt-to-EBITDA is 1.50, which is 70% above median its own 10-year median of 0.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Neway CNC Equipment (Suzhou) Co stock overvalued right now?
Based on GuruFocus' analysis, Neway CNC Equipment (Suzhou) Co (SHSE:688697) is currently considered Modestly Overvalued. The stock's GF Value™ is ¥13.27, compared to a current price of ¥15.49 — trading 16.7% above its estimated fair value. The current Debt-to-EBITDA is 1.50, which is 70% above median its 10-year median of 0.88 and 11.5% below the Industrial Products industry median of 1.70. Neway CNC Equipment (Suzhou) Co's overall GF Score™ is 88/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-EBITDA calculated?
Debt-to-EBITDA is calculated from a company's financial statements. For Neway CNC Equipment (Suzhou) Co (SHSE:688697), the current Debt-to-EBITDA is 1.50 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 Neway CNC Equipment (Suzhou) Co (SHSE:688697) Overvalued in 2026?

Based on GuruFocus' analysis, Neway CNC Equipment (Suzhou) Co stock appears to be overvalued. The current stock price of ¥15.49 is trading 16.7% above its estimated GF Value™ of ¥13.27. GuruFocus considers Neway CNC Equipment (Suzhou) Co to be Modestly Overvalued.

Key valuation signals for SHSE:688697:

  • Debt-to-EBITDA: 1.50 (70% above median its 10-year median of 0.88)
  • GF Value™: ¥13.27 vs. price of ¥15.49 (16.7% above fair value)
  • GF Score™: 88/100 with 2 warning signs
  • Industry Position: 11.5% below the Industrial Products median (#1005 of 2350)

No single metric tells the full story. See the SHSE:688697 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Neway CNC Equipment (Suzhou) Co Business Description

Address No. 69 Xunyangjiang Road, Tong\'an District, Suzhou High-tech Zone, Jiangsu Province, Tongan, CHN, 215153
Neway CNC Equipment (Suzhou) Co Ltd is engaged in the Research, development, production and sales of mid-to-high-end CNC machine tools.
88GF Score

Get the complete analysis for SHSE:688697

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

¥15.49
Price
¥13.27
GF Value