China Resources Building Materials Technology Holdings (FRA:C44) 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 Resources Building Materials Technology Holdings Interest Coverage Related Terms
China Resources Building Materials Technology Holdings Interest Coverage Historical Data
* 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.
China Resources Building Materials Technology Holdings Interest Coverage Chart
China Resources Building Materials Technology Holdings Annual Data
* 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 Resources Building Materials Technology Holdings Interest Coverage vs Building Materials Industry
China Resources Building Materials Technology 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.
China Resources Building Materials Technology Holdings (FRA:C44) has a Interest Coverage of 2.27 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on China Resources Building Materials Technology Holdings and its competitors. This is 67% below median its historical median of 6.87. Over the past decade, China Resources Building Materials Technology Holdings' Interest Coverage has ranged from 1.53 to 40.47. According to the industry distribution chart, China Resources Building Materials Technology Holdings ranks #257 out of 307 companies in the Building Materials industry, placing it in the top 83.7%.
Is China Resources Building Materials Technology Holdings' Interest Coverage too high?
China Resources Building Materials Technology Holdings' current Interest Coverage of 2.27 is 67% below median its 10-year median of 6.87. Over the past 10 years, this metric has ranged from a low of 1.53 to a high of 40.47. The Building Materials industry median Interest Coverage is 6.63. China Resources Building Materials Technology Holdings' value of 2.27 is 65.8% below this industry median. Based on the distribution chart, China Resources Building Materials Technology Holdings ranks #257 out of 307 companies in the Building Materials industry, which is in the bottom quartile relative to peers. Overall, China Resources Building Materials Technology Holdings has a GF Score™ of 80/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does China Resources Building Materials Technology Holdings' Interest Coverage compare to CRH and VMC?
According to the Building Materials industry distribution chart, China Resources Building Materials Technology Holdings ranks #257 out of 307 companies for Interest Coverage. This places China Resources Building Materials Technology Holdings in the lower half of its industry. The industry median Interest Coverage is 6.63. China Resources Building Materials Technology Holdings' value of 2.27 is 65.8% below this benchmark. Historically, China Resources Building Materials Technology Holdings' own Interest Coverage has ranged from 1.53 to 40.47 over the past decade. While the company's 10-year median is 6.87 vs. the industry median of 6.63, China Resources Building Materials Technology 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 Building Materials company?
The median Interest Coverage among Building Materials companies is 6.63, based on 307 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 Resources Building Materials Technology Holdings's current Interest Coverage of 2.27 is 65.8% 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 China Resources Building Materials Technology Holdings and its competitors. For the Building Materials industry, the median Interest Coverage is 6.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Resources Building Materials Technology Holdings's current Interest Coverage is 2.27, which is 67% below median its own 10-year median of 6.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Resources Building Materials Technology Holdings stock overvalued right now?
Based on GuruFocus' analysis, China Resources Building Materials Technology Holdings (FRA:C44) is currently considered Possible Value Trap. The stock's GF Value™ is €0.16, compared to a current price of €0.10 — trading 36.9% below its estimated fair value. The current Interest Coverage is 2.27, which is 67% below median its 10-year median of 6.87 and 65.8% below the Building Materials industry median of 6.63. China Resources Building Materials Technology Holdings' overall GF Score™ is 80/100 with 5 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 Resources Building Materials Technology Holdings (FRA:C44), the current Interest Coverage is 2.27 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 Resources Building Materials Technology Holdings (FRA:C44) Overvalued in 2026?
Based on GuruFocus' analysis, China Resources Building Materials Technology Holdings stock appears to be undervalued.
The current stock price of €0.10 is trading 36.9% below its estimated GF Value™ of €0.16.
GuruFocus considers China Resources Building Materials Technology Holdings to be Possible Value Trap.
Key valuation signals for FRA:C44:
Interest Coverage: 2.27 (67% below median its 10-year median of 6.87)
GF Value™: €0.16 vs. price of €0.10 (36.9% below fair value)
Industry Position: 65.8% below the Building Materials median (#257 of 307)
No single metric tells the full story. See the FRA:C44 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Resources Building Materials Technology Holdings Business Description
CRBM mainly engages in the production and sale of cement, clinker, and concrete in Southern China. The company was established in 2003, with parent company China Resources Group holding around 68% of the total equity stake. While cement and clinker products have been the largest contributors to CRBM's earnings historically, the firm has forayed into related sectors such as aggregates and engineered stones in recent years. Its major customers include real estate and infrastructure builders in provinces such as Guangdong, Guangxi, and Fujian.
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