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Kwoon Chung Bus HoldingsHKSE:00306 74 Interest Coverage is 1.69 as of Sep. 2025, which is 64% below its 10-year median of 4.67. GuruFocus rates HKSE:00306 with a GF Score™ of 74/100 and a GF Value™ of HK$3.02 (Fairly Valued). The stock has 4 warning signs investors should review. Among 841 Transportation companies, Kwoon Chung Bus Holdings ranks worse than 61.47% 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. Kwoon Chung Bus Holdings's
Operating Income
for the
six
months ended in Sep. 2025 was HK$72 Mil. Kwoon Chung Bus Holdings's Interest Expense for the
six
months ended in Sep. 2025 was HK$-42 Mil.
Kwoon Chung Bus Holdings's interest coverage for the quarter that ended in Sep. 2025 was 1.69.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Kwoon Chung Bus Holdings's Interest Coverage or its related term are showing as below:
HKSE:00306'
s Interest Coverage Range Over the Past 10 Years
Min: 1.1 Med: 4.67 Max: 10.69
Current: 3.94
HKSE:00306's Interest Coverage is ranked worse than 61.47% of 841
companies
in the Transportation industry
Industry Median: 5.68
vs HKSE:00306: 3.94
Kwoon Chung Bus Holdings (HKSE:00306) 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 .
Kwoon Chung Bus Holdings Interest Coverage Related Terms
Kwoon Chung Bus 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.
HKSE:00306 vs UNP, CSX, NSC: Interest Coverage Comparison
For the Railroads subindustry, Kwoon Chung Bus 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.
Kwoon Chung Bus Holdings Interest Coverage vs Transportation Industry
For the Transportation industry and Industrials sector, Kwoon Chung Bus Holdings's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Kwoon Chung Bus Holdings's Interest Coverage falls into.
Kwoon Chung Bus 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.
Kwoon Chung Bus Holdings (HKSE:00306) has a Interest Coverage of 1.69 as of Sep. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Kwoon Chung Bus Holdings and its competitors. This is 64% below median its historical median of 4.67. Over the past decade, Kwoon Chung Bus Holdings' Interest Coverage has ranged from 1.10 to 10.69. According to the industry distribution chart, Kwoon Chung Bus Holdings ranks #517 out of 841 companies in the Transportation industry, placing it in the top 61.5%.
Is Kwoon Chung Bus Holdings' Interest Coverage too high?
Kwoon Chung Bus Holdings' current Interest Coverage of 1.69 is 64% below median its 10-year median of 4.67. Over the past 10 years, this metric has ranged from a low of 1.10 to a high of 10.69. The Transportation industry median Interest Coverage is 5.68. Kwoon Chung Bus Holdings' value of 1.69 is 70.2% below this industry median. Based on the distribution chart, Kwoon Chung Bus Holdings ranks #517 out of 841 companies in the Transportation industry, which is below the industry midpoint. Overall, Kwoon Chung Bus Holdings has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kwoon Chung Bus Holdings' Interest Coverage compare to UNP and CSX?
According to the Transportation industry distribution chart, Kwoon Chung Bus Holdings ranks #517 out of 841 companies for Interest Coverage. This places Kwoon Chung Bus Holdings in the lower half of its industry. The industry median Interest Coverage is 5.68. Kwoon Chung Bus Holdings' value of 1.69 is 70.2% below this benchmark. Historically, Kwoon Chung Bus Holdings' own Interest Coverage has ranged from 1.10 to 10.69 over the past decade. While the company's 10-year median is 4.67 vs. the industry median of 5.68, Kwoon Chung Bus 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 Transportation company?
The median Interest Coverage among Transportation companies is 5.68, based on 841 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. Kwoon Chung Bus Holdings's current Interest Coverage of 1.69 is 70.2% 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 Kwoon Chung Bus Holdings and its competitors. For the Transportation industry, the median Interest Coverage is 5.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kwoon Chung Bus Holdings's current Interest Coverage is 1.69, which is 64% below median its own 10-year median of 4.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kwoon Chung Bus Holdings stock overvalued right now?
Based on GuruFocus' analysis, Kwoon Chung Bus Holdings (HKSE:00306) is currently considered Fairly Valued. The stock's GF Value™ is HK$3.02, compared to a current price of HK$2.79 — trading 7.6% below its estimated fair value. The current Interest Coverage is 1.69, which is 64% below median its 10-year median of 4.67 and 70.2% below the Transportation industry median of 5.68. Kwoon Chung Bus Holdings' overall GF Score™ is 74/100 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 Kwoon Chung Bus Holdings (HKSE:00306), the current Interest Coverage is 1.69 as of Sep. 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 Kwoon Chung Bus Holdings (HKSE:00306) Overvalued in 2026?
Based on GuruFocus' analysis, Kwoon Chung Bus Holdings stock appears to be undervalued.
The current stock price of HK$2.79 is trading 7.6% below its estimated GF Value™ of HK$3.02.
GuruFocus considers Kwoon Chung Bus Holdings to be Fairly Valued.
Key valuation signals for HKSE:00306:
Interest Coverage: 1.69 (64% below median its 10-year median of 4.67)
GF Value™: HK$3.02 vs. price of HK$2.79 (7.6% below fair value)
Industry Position: 70.2% below the Transportation median (#517 of 841)
No single metric tells the full story. See the HKSE:00306 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kwoon Chung Bus Holdings Ltd is engaged in transportation businesses. The company's operating segment includes a Non-franchised Bus; Limousine; Franchised Bus and PLB; Mainland China Business and Others. It generates maximum revenue from the Non-franchised bus segment. The Non-franchised bus segment includes the provision of non-franchised bus hire services in Hong Kong, cross-boundary passenger transportation services (other than limousine hire services) between Hong Kong and Mainland China, and other related services. Geographically, it operates in Hong Kong and Macau; and Chinese Mainland.
74GF Score
Get the complete analysis for HKSE:00306
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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