Guizhou Zhenhua E-chem (SHSE:688707) Effective Interest Rate on Debt %: 2.60% (As of Jun. 2026)

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SHSE:688707 Guizhou Zhenhua E-chem Inc SHSE:688707
64 GF Score
Price ¥10.67
GF Value ¥9.70
Valuation Fairly Valued
! 2 Warning Signs
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What is Guizhou Zhenhua E-chem Effective Interest Rate on Debt %?

Guizhou Zhenhua E-chem SHSE:688707 +1.81% 64 Effective Interest Rate on Debt % is 2.60% as of Jun. 2026. GuruFocus rates SHSE:688707 with a GF Score™ of 64/100 and a GF Value™ of ¥9.70 (Fairly Valued). The stock has 2 warning signs investors should review.

Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. Guizhou Zhenhua E-chem's annualized positive value of Interest Expense for the quarter that ended in Jun. 2026 was ¥47 Mil. Guizhou Zhenhua E-chem's average total debt for the quarter that ended in Jun. 2026 was ¥1,794 Mil. Therefore, Guizhou Zhenhua E-chem's annualized Effective Interest Rate on Debt % for the quarter that ended in Jun. 2026 was 2.60%.


Guizhou Zhenhua E-chem  (SHSE:688707) Effective Interest Rate on Debt % Explanation

Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.


Guizhou Zhenhua E-chem Effective Interest Rate on Debt % Related Terms


Guizhou Zhenhua E-chem Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Guizhou Zhenhua E-chem's Effective Interest Rate on Debt % 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.

Guizhou Zhenhua E-chem Effective Interest Rate on Debt % Chart

Guizhou Zhenhua E-chem Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.56 4.84 4.38 3.20 2.78

Guizhou Zhenhua E-chem Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Effective Interest Rate on Debt % 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 2.75 2.62 2.73 2.58 2.60

SHSE:688707 vs DOW: Effective Interest Rate on Debt % Comparison

For the Chemicals subindustry, Guizhou Zhenhua E-chem's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % 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.


Guizhou Zhenhua E-chem Effective Interest Rate on Debt % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Guizhou Zhenhua E-chem's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where Guizhou Zhenhua E-chem's Effective Interest Rate on Debt % falls into.


SHSE:688707
64GF Score
Guizhou Zhenhua E-chem Inc SHSE:688707
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
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Guizhou Zhenhua E-chem Effective Interest Rate on Debt % Calculation

Guizhou Zhenhua E-chem's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Dec. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Dec. 2024 )+Total Debt  (A: Dec. 2025 ))/ count )
=-1  *  -55.964/( (2123.122+1909.677)/ 2 )
=-1  *  -55.964/2016.3995
=2.78 %

where

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=523.755 + 1599.367
=2123.122

Total Debt  (A: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=1041.785 + 867.892
=1909.677

Guizhou Zhenhua E-chem's annualized Effective Interest Rate on Debt % for the quarter that ended in Jun. 2026 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Mar. 2026 )+Total Debt  (Q: Jun. 2026 ))/ count )
=-1  *  -46.64/( (1864.829+1722.474)/ 2 )
=-1  *  -46.64/1793.6515
=2.60 %

where

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=1041.785 + 823.044
=1864.829

Total Debt  (Q: Jun. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=1041.585 + 680.889
=1722.474

* 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 Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data, the Interest Expense data used here is four times the quarterly (Jun. 2026) interest expense data. Effective Interest Rate on Debt % is displayed in the 30-year financial page.

What does a Effective Interest Rate on Debt % of 2.60% mean?
Guizhou Zhenhua E-chem (SHSE:688707) has a Effective Interest Rate on Debt % of 2.60% as of Jun. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Guizhou Zhenhua E-chem and its competitors.
Is Guizhou Zhenhua E-chem's Effective Interest Rate on Debt % too high?
Guizhou Zhenhua E-chem's current Effective Interest Rate on Debt % is 2.60%. Overall, Guizhou Zhenhua E-chem has a GF Score™ of 64/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Guizhou Zhenhua E-chem's Effective Interest Rate on Debt % compare to DOW?
Guizhou Zhenhua E-chem's Effective Interest Rate on Debt % of 2.60% can be compared against companies in the Chemicals industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Effective Interest Rate on Debt % for a Chemicals company?
A good Effective Interest Rate on Debt % depends on the Chemicals industry context. However, Effective Interest Rate on Debt % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Effective Interest Rate on Debt % mean?
A high Effective Interest Rate on Debt % can signal that a stock is expensive relative to its fundamentals. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Guizhou Zhenhua E-chem and its competitors. Guizhou Zhenhua E-chem's current Effective Interest Rate on Debt % is 2.60%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Guizhou Zhenhua E-chem stock overvalued right now?
Based on GuruFocus' analysis, Guizhou Zhenhua E-chem (SHSE:688707) is currently considered Fairly Valued. The stock's GF Value™ is ¥9.70, compared to a current price of ¥10.67 — trading 10% above its estimated fair value. The current Effective Interest Rate on Debt % is 2.60%. Guizhou Zhenhua E-chem's overall GF Score™ is 64/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Effective Interest Rate on Debt % calculated?
Effective Interest Rate on Debt % is calculated from a company's financial statements. For Guizhou Zhenhua E-chem (SHSE:688707), the current Effective Interest Rate on Debt % is 2.60% as of Jun. 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 Guizhou Zhenhua E-chem (SHSE:688707) Overvalued in 2026?

Based on GuruFocus' analysis, Guizhou Zhenhua E-chem stock appears to be overvalued. The current stock price of ¥10.67 is trading 10% above its estimated GF Value™ of ¥9.70. GuruFocus considers Guizhou Zhenhua E-chem to be Fairly Valued.

Key valuation signals for SHSE:688707:

  • Effective Interest Rate on Debt %: 2.60%
  • GF Value™: ¥9.70 vs. price of ¥10.67 (10% above fair value)
  • GF Score™: 64/100 with 2 warning signs

No single metric tells the full story. See the SHSE:688707 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Guizhou Zhenhua E-chem Business Description

Address No. 1, Gaokua Road, Baiyun District, Guizhou Province, Guiyang, CHN, 550016
Guizhou Zhenhua E-chem Inc is engaged in the research and development, production and sales of cathode materials for lithium-ion batteries.
64GF Score

Get the complete analysis for SHSE:688707

Effective Interest Rate on Debt % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

¥10.67
Price
¥9.70
GF Value