CK Hutchison HoldingsFRA:2CKA -2.03%78 Interest Coverage is 3.08 as of Dec. 2025, which is 18% below its 10-year median of 3.77. GuruFocus rates FRA:2CKA with a GF Score™ of 78/100 and a GF Value™ of €4.79 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 427 Conglomerates companies, CK Hutchison Holdings ranks worse than 66.98% 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. CK Hutchison Holdings's
Operating Income
for the
six
months ended in Dec. 2025 was €2,011 Mil. CK Hutchison Holdings's Interest Expense for the
six
months ended in Dec. 2025 was €-652 Mil.
CK Hutchison Holdings's interest coverage for the quarter that ended in Dec. 2025 was 3.08.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for CK Hutchison Holdings's Interest Coverage or its related term are showing as below:
FRA:2CKA'
s Interest Coverage Range Over the Past 10 Years
Min: 3.07 Med: 3.77 Max: 4.86
Current: 3.07
FRA:2CKA's Interest Coverage is ranked worse than 66.98% of 427
companies
in the Conglomerates industry
Industry Median: 5.29
vs FRA:2CKA: 3.07
CK Hutchison Holdings (FRA:2CKA) 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 .
CK Hutchison Holdings Interest Coverage Related Terms
CK Hutchison Holdings Interest Coverage Historical Data
* Premium members only.
The historical data trend for CK Hutchison Holdings'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.
FRA:2CKA vs HON, MMM: Interest Coverage Comparison
For the Conglomerates subindustry, CK Hutchison Holdings'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.
CK Hutchison Holdings Interest Coverage vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, CK Hutchison Holdings's Interest Coverage distribution charts can be found below:
* The bar in red indicates where CK Hutchison Holdings's Interest Coverage falls into.
CK Hutchison Holdings 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:
* 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.
CK Hutchison Holdings (FRA:2CKA) has a Interest Coverage of 3.08 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on CK Hutchison Holdings and its competitors. This is 18% below median its historical median of 3.77. Over the past decade, CK Hutchison Holdings' Interest Coverage has ranged from 3.07 to 4.86. According to the industry distribution chart, CK Hutchison Holdings ranks #286 out of 427 companies in the Conglomerates industry, placing it in the top 67%.
Is CK Hutchison Holdings' Interest Coverage too high?
CK Hutchison Holdings' current Interest Coverage of 3.08 is 18% below median its 10-year median of 3.77. Over the past 10 years, this metric has ranged from a low of 3.07 to a high of 4.86. The Conglomerates industry median Interest Coverage is 5.29. CK Hutchison Holdings' value of 3.08 is 41.8% below this industry median. Based on the distribution chart, CK Hutchison Holdings ranks #286 out of 427 companies in the Conglomerates industry, which is below the industry midpoint. Overall, CK Hutchison Holdings has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does CK Hutchison Holdings' Interest Coverage compare to HON and MMM?
According to the Conglomerates industry distribution chart, CK Hutchison Holdings ranks #286 out of 427 companies for Interest Coverage. This places CK Hutchison Holdings in the lower half of its industry. The industry median Interest Coverage is 5.29. CK Hutchison Holdings' value of 3.08 is 41.8% below this benchmark. Historically, CK Hutchison Holdings' own Interest Coverage has ranged from 3.07 to 4.86 over the past decade. While the company's 10-year median is 3.77 vs. the industry median of 5.29, CK Hutchison Holdings 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 Conglomerates company?
The median Interest Coverage among Conglomerates companies is 5.29, based on 427 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. CK Hutchison Holdings's current Interest Coverage of 3.08 is 41.8% 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 CK Hutchison Holdings and its competitors. For the Conglomerates industry, the median Interest Coverage is 5.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CK Hutchison Holdings's current Interest Coverage is 3.08, which is 18% below median its own 10-year median of 3.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CK Hutchison Holdings stock overvalued right now?
Based on GuruFocus' analysis, CK Hutchison Holdings (FRA:2CKA) is currently considered Significantly Overvalued. The stock's GF Value™ is €4.79, compared to a current price of €7.25 — trading 51.4% above its estimated fair value. The current Interest Coverage is 3.08, which is 18% below median its 10-year median of 3.77 and 41.8% below the Conglomerates industry median of 5.29. CK Hutchison Holdings' overall GF Score™ is 78/100 with 9 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 CK Hutchison Holdings (FRA:2CKA), the current Interest Coverage is 3.08 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 CK Hutchison Holdings (FRA:2CKA) Overvalued in 2026?
Based on GuruFocus' analysis, CK Hutchison Holdings stock appears to be overvalued.
The current stock price of €7.25 is trading 51.4% above its estimated GF Value™ of €4.79.
GuruFocus considers CK Hutchison Holdings to be Significantly Overvalued.
Key valuation signals for FRA:2CKA:
Interest Coverage: 3.08 (18% below median its 10-year median of 3.77)
GF Value™: €4.79 vs. price of €7.25 (51.4% above fair value)
Industry Position: 41.8% below the Conglomerates median (#286 of 427)
No single metric tells the full story. See the FRA:2CKA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
CK Hutchison Holdings, or CKH, is a Hong Kong headquartered conglomerate with key businesses in ports, retail, infrastructure, and telecommunications. The company was created in 2015 to house the merged assets of Cheung Kong Holdings and Hutchison Whampoa as the group sought to flatten out and simplify its original holding structure. CKH contains most of the businesses previously housed in Hutchison Whampoa, minus the property assets, which were spun off into their own listing, CK Asset Holdings. Telecommunications and infrastructure activities now make up the largest share of EBITDA, at around 51%. The planned sale of most of the ports business is currently being scrutinized by the government.
78GF Score
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