Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Shenwan Hongyuan (HK)HKSE:00218 -1.56%40 Interest Coverage is 3.34 as of Dec. 2025, which is 31% below its 10-year median of 4.83. GuruFocus rates HKSE:00218 with a GF Score™ of 40/100 and a GF Value™ of HK$0.78 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 433 Capital Markets companies, Shenwan Hongyuan (HK) ranks worse than 73.67% 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. Shenwan Hongyuan (HK)'s
Operating Income
for the
six
months ended in Dec. 2025 was HK$127.3 Mil. Shenwan Hongyuan (HK)'s Interest Expense for the
six
months ended in Dec. 2025 was HK$-38.1 Mil.
Shenwan Hongyuan (HK)'s interest coverage for the quarter that ended in Dec. 2025 was 3.34.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Shenwan Hongyuan (HK)'s Interest Coverage or its related term are showing as below:
HKSE:00218'
s Interest Coverage Range Over the Past 10 Years
Min: 0.75 Med: 4.83 Max: 16.24
Current: 3.05
HKSE:00218's Interest Coverage is ranked worse than 73.67% of 433
companies
in the Capital Markets industry
Industry Median: 20.17
vs HKSE:00218: 3.05
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 .
Shenwan Hongyuan (HK) Interest Coverage Related Terms
Shenwan Hongyuan (HK) Interest Coverage Historical Data
* Premium members only.
The historical data trend for Shenwan Hongyuan (HK)'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.
HKSE:00218 vs MS, GS, SCHW: Interest Coverage Comparison
For the Capital Markets subindustry, Shenwan Hongyuan (HK)'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.
Shenwan Hongyuan (HK) Interest Coverage vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, Shenwan Hongyuan (HK)'s Interest Coverage distribution charts can be found below:
* The bar in red indicates where Shenwan Hongyuan (HK)'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.
Shenwan Hongyuan (HK) (HKSE:00218) has a Interest Coverage of 3.34 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Shenwan Hongyuan (HK) and its competitors. This is 31% below median its historical median of 4.83. Over the past decade, Shenwan Hongyuan (HK)'s Interest Coverage has ranged from 0.75 to 16.24. According to the industry distribution chart, Shenwan Hongyuan (HK) ranks #319 out of 433 companies in the Capital Markets industry, placing it in the top 73.7%.
Is Shenwan Hongyuan (HK)'s Interest Coverage too high?
Shenwan Hongyuan (HK)'s current Interest Coverage of 3.34 is 31% below median its 10-year median of 4.83. Over the past 10 years, this metric has ranged from a low of 0.75 to a high of 16.24. The Capital Markets industry median Interest Coverage is 20.17. Shenwan Hongyuan (HK)'s value of 3.34 is 83.4% below this industry median. Based on the distribution chart, Shenwan Hongyuan (HK) ranks #319 out of 433 companies in the Capital Markets industry, which is below the industry midpoint. Overall, Shenwan Hongyuan (HK) has a GF Score™ of 40/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shenwan Hongyuan (HK)'s Interest Coverage compare to MS and GS?
According to the Capital Markets industry distribution chart, Shenwan Hongyuan (HK) ranks #319 out of 433 companies for Interest Coverage. This places Shenwan Hongyuan (HK) in the lower half of its industry. The industry median Interest Coverage is 20.17. Shenwan Hongyuan (HK)'s value of 3.34 is 83.4% below this benchmark. Historically, Shenwan Hongyuan (HK)'s own Interest Coverage has ranged from 0.75 to 16.24 over the past decade. While the company's 10-year median is 4.83 vs. the industry median of 20.17, Shenwan Hongyuan (HK) 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 Capital Markets company?
The median Interest Coverage among Capital Markets companies is 20.17, based on 433 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. Shenwan Hongyuan (HK)'s current Interest Coverage of 3.34 is 83.4% 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 Shenwan Hongyuan (HK) and its competitors. For the Capital Markets industry, the median Interest Coverage is 20.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shenwan Hongyuan (HK)'s current Interest Coverage is 3.34, which is 31% below median its own 10-year median of 4.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shenwan Hongyuan (HK) stock overvalued right now?
Based on GuruFocus' analysis, Shenwan Hongyuan (HK) (HKSE:00218) is currently considered Modestly Overvalued. The stock's GF Value™ is HK$0.78, compared to a current price of HK$0.95 — trading 21.2% above its estimated fair value. The current Interest Coverage is 3.34, which is 31% below median its 10-year median of 4.83 and 83.4% below the Capital Markets industry median of 20.17. Shenwan Hongyuan (HK)'s overall GF Score™ is 40/100 with 4 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 Shenwan Hongyuan (HK) (HKSE:00218), the current Interest Coverage is 3.34 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 Shenwan Hongyuan (HK) (HKSE:00218) Overvalued in 2026?
Based on GuruFocus' analysis, Shenwan Hongyuan (HK) stock appears to be overvalued.
The current stock price of HK$0.95 is trading 21.2% above its estimated GF Value™ of HK$0.78.
GuruFocus considers Shenwan Hongyuan (HK) to be Modestly Overvalued.
Key valuation signals for HKSE:00218:
Interest Coverage: 3.34 (31% below median its 10-year median of 4.83)
GF Value™: HK$0.78 vs. price of HK$0.95 (21.2% above fair value)
Industry Position: 83.4% below the Capital Markets median (#319 of 433)
No single metric tells the full story. See the HKSE:00218 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shenwan Hongyuan (HK) Ltd is an investment holding company. The business scope of the company covers brokerage business, corporate finance business, asset management business, financing and loans business, and investment and other business. The company has five business segments including Corporate finance, Principal Investment, Wealth management, Institutional services and trading, Asset management, and others. The company's operations are mainly located in Hong Kong. It derives a majority of its revenues from the Wealth management segment.
40GF Score
Get the complete analysis for HKSE:00218
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
HKSE:00218 has been successfully added to your 
