China TowerCTOWY 72 Interest Coverage is 7.22 as of Dec. 2025, which is 103% above its 10-year median of 3.55. GuruFocus rates CTOWY with a GF Score™ of 72/100 and a GF Value™ of $14.90 (Fairly Valued). The stock has 3 warning signs investors should review. Among 284 Telecommunication Services companies, China Tower ranks better than 61.62% 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. China Tower's
Operating Income
for the
six
months ended in Dec. 2025 was $1,216 Mil. China Tower's Interest Expense for the
six
months ended in Dec. 2025 was $-168 Mil.
China Tower's interest coverage for the quarter that ended in Dec. 2025 was 7.22.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for China Tower's Interest Coverage or its related term are showing as below:
CTOWY'
s Interest Coverage Range Over the Past 10 Years
Min: 1 Med: 3.55 Max: 7.03
Current: 7.03
CTOWY's Interest Coverage is ranked better than 61.62% of 284
companies
in the Telecommunication Services industry
Industry Median: 4.685
vs CTOWY: 7.03
China Tower (OTCPK:CTOWY) 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 .
China Tower Interest Coverage Related Terms
China Tower Interest Coverage Historical Data
* Premium members only.
The historical data trend for China Tower'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.
CTOWY vs TMUS, VZ, T: Interest Coverage Comparison
For the Telecom Services subindustry, China Tower'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.
China Tower Interest Coverage vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, China Tower's Interest Coverage distribution charts can be found below:
* The bar in red indicates where China Tower'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.
China Tower (CTOWY) has a Interest Coverage of 7.22 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on China Tower and its competitors. This is 103% above median its historical median of 3.55. Over the past decade, China Tower's Interest Coverage has ranged from 1.00 to 7.03. According to the industry distribution chart, China Tower ranks #109 out of 284 companies in the Telecommunication Services industry, placing it in the top 38.4%.
Is China Tower's Interest Coverage too high?
China Tower's current Interest Coverage of 7.22 is 103% above median its 10-year median of 3.55. Over the past 10 years, this metric has ranged from a low of 1.00 to a high of 7.03. The Telecommunication Services industry median Interest Coverage is 4.69. China Tower's value of 7.22 is 54.1% above this industry median. Based on the distribution chart, China Tower ranks #109 out of 284 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, China Tower has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does China Tower's Interest Coverage compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, China Tower ranks #109 out of 284 companies for Interest Coverage. This puts China Tower in the upper half of its industry. The industry median Interest Coverage is 4.69. China Tower's value of 7.22 is 54.1% above this benchmark. Historically, China Tower's own Interest Coverage has ranged from 1.00 to 7.03 over the past decade. While the company's 10-year median is 3.55 vs. the industry median of 4.69, China Tower has consistently been above 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 Telecommunication Services company?
The median Interest Coverage among Telecommunication Services companies is 4.69, based on 284 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. China Tower's current Interest Coverage of 7.22 is 54.1% above 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 China Tower and its competitors. For the Telecommunication Services industry, the median Interest Coverage is 4.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Tower's current Interest Coverage is 7.22, which is 103% above median its own 10-year median of 3.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Tower stock overvalued right now?
Based on GuruFocus' analysis, China Tower (CTOWY) is currently considered Fairly Valued. The stock's GF Value™ is $14.90, compared to a current price of $14.93 — trading 0.2% above its estimated fair value. The current Interest Coverage is 7.22, which is 103% above median its 10-year median of 3.55 and 54.1% above the Telecommunication Services industry median of 4.69. China Tower's overall GF Score™ is 72/100 with 3 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 China Tower (CTOWY), the current Interest Coverage is 7.22 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.
Is China Tower (CTOWY) Overvalued in 2026?
Based on GuruFocus' analysis, China Tower stock appears to be overvalued.
The current stock price of $14.93 is trading 0.2% above its estimated GF Value™ of $14.90.
GuruFocus considers China Tower to be Fairly Valued.
Key valuation signals for CTOWY:
Interest Coverage: 7.22 (103% above median its 10-year median of 3.55)
GF Value™: $14.90 vs. price of $14.93 (0.2% above fair value)
Industry Position: 54.1% above the Telecommunication Services median (#109 of 284)
No single metric tells the full story. See the CTOWY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Tower Corp Ltd is a telecommunications tower infrastructure service provider. It is principally engaged in the construction, maintenance, and operation of base station ancillary facilities such as telecommunications towers, public network coverage in high-speed railways and subways, and large-scale indoor Distributed Antenna Systems (DAS). The Group's various operating divisions are Tower business, DAS business, Smart Tower business, and Energy business. Geographically, the Group derives all of its revenue from Mainland China.
72GF Score
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