Hunan Dezhong Automotiveles Service Co (BJSE:920030) Interest Coverage: 2.91 (As of Jun. 2026) — 56% Above Median

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BJSE:920030 Hunan Dezhong Automotive Sales Service Co Ltd BJSE:920030
58 GF Score
Price ¥4.61
GF Value ¥4.29
Valuation Fairly Valued
! 7 Warning Signs
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What is Hunan Dezhong Automotiveles Service Co Interest Coverage?

Hunan Dezhong Automotiveles Service Co BJSE:920030 58 Interest Coverage is 2.91 as of Jun. 2026, which is 56% above its 10-year median of 1.86. GuruFocus rates BJSE:920030 with a GF Score™ of 58/100 and a GF Value™ of ¥4.29 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,050 Vehicles & Parts companies, Hunan Dezhong Automotiveles Service Co ranks worse than 94.29% 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. Hunan Dezhong Automotiveles Service Co's Operating Income for the three months ended in Jun. 2026 was ¥10 Mil. Hunan Dezhong Automotiveles Service Co's Interest Expense for the three months ended in Jun. 2026 was ¥-3 Mil. Hunan Dezhong Automotiveles Service Co's interest coverage for the quarter that ended in Jun. 2026 was 2.91. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Hunan Dezhong Automotiveles Service Co's Interest Coverage or its related term are showing as below:

BJSE:920030' s Interest Coverage Range Over the Past 10 Years
Min: 0.71   Med: 1.86   Max: 5.09
Current: 0.95


BJSE:920030's Interest Coverage is ranked worse than
94.29% of 1050 companies
in the Vehicles & Parts industry
Industry Median: 8.475 vs BJSE:920030: 0.95

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


Hunan Dezhong Automotiveles Service Co  (BJSE:920030) 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 .


Hunan Dezhong Automotiveles Service Co Interest Coverage Related Terms


Hunan Dezhong Automotiveles Service Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Hunan Dezhong Automotiveles Service Co'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.

Hunan Dezhong Automotiveles Service Co Interest Coverage Chart

Hunan Dezhong Automotiveles Service Co 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 4.59 2.65 0.83 1.86 0.00

Hunan Dezhong Automotiveles Service Co Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 0.00 0.00 0.00 3.04 2.91

BJSE:920030 vs CVNA, PAG, ALTB: Interest Coverage Comparison

For the Auto & Truck Dealerships subindustry, Hunan Dezhong Automotiveles Service Co'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.


Hunan Dezhong Automotiveles Service Co Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Hunan Dezhong Automotiveles Service Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Hunan Dezhong Automotiveles Service Co's Interest Coverage falls into.


BJSE:920030
58GF Score
Hunan Dezhong Automotive Sales Service Co Ltd BJSE:920030
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hunan Dezhong Automotiveles Service Co 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.

Hunan Dezhong Automotiveles Service Co'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, Hunan Dezhong Automotiveles Service Co's Interest Expense was ¥-16 Mil. Its Operating Income was ¥0 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥108 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*0.037/-16.101
=0.00

Hunan Dezhong Automotiveles Service Co's Interest Coverage for the quarter that ended in Jun. 2026 is calculated as

Here, for the three months ended in Jun. 2026, Hunan Dezhong Automotiveles Service Co's Interest Expense was ¥-3 Mil. Its Operating Income was ¥10 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥116 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2026 )/Interest Expense (Q: Jun. 2026 )
=-1*10.166/-3.489
=2.91

* 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 2.91 mean?
Hunan Dezhong Automotiveles Service Co (BJSE:920030) has a Interest Coverage of 2.91 as of Jun. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Hunan Dezhong Automotiveles Service Co and its competitors. This is 56% above median its historical median of 1.86. Over the past decade, Hunan Dezhong Automotiveles Service Co's Interest Coverage has ranged from 0.71 to 5.09. According to the industry distribution chart, Hunan Dezhong Automotiveles Service Co ranks #990 out of 1050 companies in the Vehicles & Parts industry, placing it in the top 94.3%.
Is Hunan Dezhong Automotiveles Service Co's Interest Coverage too high?
Hunan Dezhong Automotiveles Service Co's current Interest Coverage of 2.91 is 56% above median its 10-year median of 1.86. Over the past 10 years, this metric has ranged from a low of 0.71 to a high of 5.09. The Vehicles & Parts industry median Interest Coverage is 8.48. Hunan Dezhong Automotiveles Service Co's value of 2.91 is 65.7% below this industry median. Based on the distribution chart, Hunan Dezhong Automotiveles Service Co ranks #990 out of 1050 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Hunan Dezhong Automotiveles Service Co has a GF Score™ of 58/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hunan Dezhong Automotiveles Service Co's Interest Coverage compare to CVNA and PAG?
According to the Vehicles & Parts industry distribution chart, Hunan Dezhong Automotiveles Service Co ranks #990 out of 1050 companies for Interest Coverage. This places Hunan Dezhong Automotiveles Service Co in the lower half of its industry. The industry median Interest Coverage is 8.48. Hunan Dezhong Automotiveles Service Co's value of 2.91 is 65.7% below this benchmark. Historically, Hunan Dezhong Automotiveles Service Co's own Interest Coverage has ranged from 0.71 to 5.09 over the past decade. While the company's 10-year median is 1.86 vs. the industry median of 8.48, Hunan Dezhong Automotiveles Service 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 Interest Coverage for a Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.48, based on 1,050 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. Hunan Dezhong Automotiveles Service Co's current Interest Coverage of 2.91 is 65.7% 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 Hunan Dezhong Automotiveles Service Co and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hunan Dezhong Automotiveles Service Co's current Interest Coverage is 2.91, which is 56% above median its own 10-year median of 1.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hunan Dezhong Automotiveles Service Co stock overvalued right now?
Based on GuruFocus' analysis, Hunan Dezhong Automotiveles Service Co (BJSE:920030) is currently considered Fairly Valued. The stock's GF Value™ is ¥4.29, compared to a current price of ¥4.61 — trading 7.5% above its estimated fair value. The current Interest Coverage is 2.91, which is 56% above median its 10-year median of 1.86 and 65.7% below the Vehicles & Parts industry median of 8.48. Hunan Dezhong Automotiveles Service Co's overall GF Score™ is 58/100 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 Hunan Dezhong Automotiveles Service Co (BJSE:920030), the current Interest Coverage is 2.91 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 Hunan Dezhong Automotiveles Service Co (BJSE:920030) Overvalued in 2026?

Based on GuruFocus' analysis, Hunan Dezhong Automotiveles Service Co stock appears to be overvalued. The current stock price of ¥4.61 is trading 7.5% above its estimated GF Value™ of ¥4.29. GuruFocus considers Hunan Dezhong Automotiveles Service Co to be Fairly Valued.

Key valuation signals for BJSE:920030:

  • Interest Coverage: 2.91 (56% above median its 10-year median of 1.86)
  • GF Value™: ¥4.29 vs. price of ¥4.61 (7.5% above fair value)
  • GF Score™: 58/100 with 7 warning signs
  • Industry Position: 65.7% below the Vehicles & Parts median (#990 of 1050)

No single metric tells the full story. See the BJSE:920030 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hunan Dezhong Automotiveles Service Co Business Description

Address Hecheng Branch, Huaihua Industrial Park, Yazuiyan Logistics Industrial Zone, Hecheng District, Hunan Province, Huaihua, CHN, 418000
Hunan Dezhong Automotive Sales Service Co Ltd is engaged in an Automobile company. The company also offers auto after-sales maintenance services, auto parts sales, and auto beauty and decoration services. The company's main business activities include: sales of automobiles and parts, after-sales repair of automobiles, automobile decoration, and automobile value-added services.
58GF Score

Get the complete analysis for BJSE:920030

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

¥4.61
Price
¥4.29
GF Value