Nongfu Spring CoHAM:7NF -2.37%97 Interest Coverage is 258.16 as of Dec. 2025, which is 50% above its 10-year median of 171.95. GuruFocus rates HAM:7NF with a GF Score™ of 97/100 and a GF Value™ of €6.67. The stock has 2 warning signs investors should review. Among 90 Beverages - Non-Alcoholic companies, Nongfu Spring Co ranks better than 84.44% 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. Nongfu Spring Co's
Operating Income
for the
six
months ended in Dec. 2025 was €1,325 Mil. Nongfu Spring Co's Interest Expense for the
six
months ended in Dec. 2025 was €-5 Mil.
Nongfu Spring Co's interest coverage for the quarter that ended in Dec. 2025 was 258.16.
The higher the ratio, the stronger the company's financial strength is.
Good Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Nongfu Spring Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.
The historical rank and industry rank for Nongfu Spring Co's Interest Coverage or its related term are showing as below:
HAM:7NF'
s Interest Coverage Range Over the Past 10 Years
Min: 90.23 Med: 171.95 Max: 1202.06
Current: 303.24
HAM:7NF's Interest Coverage is ranked better than 84.44% of 90
companies
in the Beverages - Non-Alcoholic industry
Industry Median: 12.32
vs HAM:7NF: 303.24
Nongfu Spring Co (HAM:7NF) 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 .
Nongfu Spring Co Interest Coverage Related Terms
Nongfu Spring Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for Nongfu Spring 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.
HAM:7NF vs KO, PEP, MNST: Interest Coverage Comparison
For the Beverages - Non-Alcoholic subindustry, Nongfu Spring 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.
Nongfu Spring Co Interest Coverage vs Beverages - Non-Alcoholic Industry
For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, Nongfu Spring Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Nongfu Spring Co'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.
Nongfu Spring Co (HAM:7NF) has a Interest Coverage of 258.16 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Nongfu Spring Co and its competitors. This is 50% above median its historical median of 171.95. Over the past decade, Nongfu Spring Co's Interest Coverage has ranged from 90.23 to 1,202.06. According to the industry distribution chart, Nongfu Spring Co ranks #14 out of 90 companies in the Beverages - Non-Alcoholic industry, placing it in the top 15.6%.
Is Nongfu Spring Co's Interest Coverage too high?
Nongfu Spring Co's current Interest Coverage of 258.16 is 50% above median its 10-year median of 171.95. Over the past 10 years, this metric has ranged from a low of 90.23 to a high of 1,202.06. The Beverages - Non-Alcoholic industry median Interest Coverage is 12.32. Nongfu Spring Co's value of 258.16 is 1995.5% above this industry median. Based on the distribution chart, Nongfu Spring Co ranks #14 out of 90 companies in the Beverages - Non-Alcoholic industry, which is in the top quartile — a strong position relative to peers. Overall, Nongfu Spring Co has a GF Score™ of 97/100, reflecting its overall financial health beyond just this single metric.
How does Nongfu Spring Co's Interest Coverage compare to KO and PEP?
According to the Beverages - Non-Alcoholic industry distribution chart, Nongfu Spring Co ranks #14 out of 90 companies for Interest Coverage. This places Nongfu Spring Co in the top 16% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 12.32. Nongfu Spring Co's value of 258.16 is 1995.5% above this benchmark. Historically, Nongfu Spring Co's own Interest Coverage has ranged from 90.23 to 1,202.06 over the past decade. While the company's 10-year median is 171.95 vs. the industry median of 12.32, Nongfu Spring Co 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 Beverages - Non-Alcoholic company?
The median Interest Coverage among Beverages - Non-Alcoholic companies is 12.32, based on 90 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. Nongfu Spring Co's current Interest Coverage of 258.16 is 1995.5% 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 Nongfu Spring Co and its competitors. For the Beverages - Non-Alcoholic industry, the median Interest Coverage is 12.32 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nongfu Spring Co's current Interest Coverage is 258.16, which is 50% above median its own 10-year median of 171.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nongfu Spring Co stock overvalued right now?
Nongfu Spring Co (HAM:7NF) has a current Interest Coverage of 258.16. The stock's GF Value™ is €6.67, compared to a current price of €4.70 — trading 29.5% below its estimated fair value. The current Interest Coverage is 258.16, which is 50% above median its 10-year median of 171.95 and 1995.5% above the Beverages - Non-Alcoholic industry median of 12.32. Nongfu Spring Co's overall GF Score™ is 97/100 with 2 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 Nongfu Spring Co (HAM:7NF), the current Interest Coverage is 258.16 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 Nongfu Spring Co (HAM:7NF) Overvalued in 2026?
Based on GuruFocus' analysis, Nongfu Spring Co stock appears to be undervalued.
The current stock price of €4.70 is trading 29.5% below its estimated GF Value™ of €6.67.
Key valuation signals for HAM:7NF:
Interest Coverage: 258.16 (50% above median its 10-year median of 171.95)
GF Value™: €6.67 vs. price of €4.70 (29.5% below fair value)
Industry Position: 1995.5% above the Beverages - Non-Alcoholic median (#14 of 90)
No single metric tells the full story. See the HAM:7NF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1996, Nongfu Spring is a leading beverage producer with products primarily in the packaged water, ready-to-drink tea, juice, coffee, and functional beverages sectors in China. It holds the number-one share in the bottled water market; this segment contributed approximately 40% of the firm's revenue and EBIT in 2024.
97GF Score
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