Bright Smart Securitiesmmodities Group (HKSE:01428) Interest Coverage: 5.02 (As of Sep. 2025) — 51% Above Median


HKSE:01428 Bright Smart Securities & Commodities Group Ltd HKSE:01428
51 GF Score
Price HK$7.05
GF Value HK$2.28
Valuation Significantly Overvalued
! 4 Warning Signs
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What is Bright Smart Securitiesmmodities Group Interest Coverage?

Bright Smart Securitiesmmodities Group HKSE:01428 -0.56% 51 Interest Coverage is 5.02 as of Sep. 2025, which is 51% above its 10-year median of 3.33. GuruFocus rates HKSE:01428 with a GF Score™ of 51/100 and a GF Value™ of HK$2.28 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 433 Capital Markets companies, Bright Smart Securitiesmmodities Group ranks worse than 71.36% 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. Bright Smart Securitiesmmodities Group's Operating Income for the six months ended in Sep. 2025 was HK$293 Mil. Bright Smart Securitiesmmodities Group's Interest Expense for the six months ended in Sep. 2025 was HK$-58 Mil. Bright Smart Securitiesmmodities Group's interest coverage for the quarter that ended in Sep. 2025 was 5.02. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Bright Smart Securities & Commodities Group Ltd interest coverage is 3.76, which is low.

The historical rank and industry rank for Bright Smart Securitiesmmodities Group's Interest Coverage or its related term are showing as below:

HKSE:01428' s Interest Coverage Range Over the Past 10 Years
Min: 2.07   Med: 3.33   Max: 4.82
Current: 3.76


HKSE:01428's Interest Coverage is ranked worse than
71.36% of 433 companies
in the Capital Markets industry
Industry Median: 20.17 vs HKSE:01428: 3.76

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Bright Smart Securitiesmmodities Group  (HKSE:01428) 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 .


Bright Smart Securitiesmmodities Group Interest Coverage Related Terms


Bright Smart Securitiesmmodities Group Interest Coverage Historical Data

* Premium members only.

The historical data trend for Bright Smart Securitiesmmodities Group'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.

Bright Smart Securitiesmmodities Group Interest Coverage Chart

Bright Smart Securitiesmmodities Group Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.82 4.30 2.07 2.36 3.76

Bright Smart Securitiesmmodities Group Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.77 2.42 2.30 5.02 2.99

HKSE:01428 vs MS, GS, SCHW: Interest Coverage Comparison

For the Capital Markets subindustry, Bright Smart Securitiesmmodities Group'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.


Bright Smart Securitiesmmodities Group Interest Coverage vs Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Bright Smart Securitiesmmodities Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Bright Smart Securitiesmmodities Group's Interest Coverage falls into.


HKSE:01428
51GF Score
Bright Smart Securities & Commodities Group Ltd HKSE:01428
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Bright Smart Securitiesmmodities Group 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:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Bright Smart Securitiesmmodities Group's Interest Coverage for the fiscal year that ended in Mar. 2025 is calculated as

Here, for the fiscal year that ended in Mar. 2025, Bright Smart Securitiesmmodities Group's Interest Expense was HK$-214 Mil. Its Operating Income was HK$504 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$3 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2025 )/Interest Expense (A: Mar. 2025 )
=-1*503.535/-213.599
=2.36

Bright Smart Securitiesmmodities Group's Interest Coverage for the quarter that ended in Sep. 2025 is calculated as

Here, for the six months ended in Sep. 2025, Bright Smart Securitiesmmodities Group's Interest Expense was HK$-58 Mil. Its Operating Income was HK$293 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$6 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2025 )/Interest Expense (Q: Sep. 2025 )
=-1*293.019/-58.335
=5.02

* 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.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 5.02 mean?
Bright Smart Securitiesmmodities Group (HKSE:01428) has a Interest Coverage of 5.02 as of Sep. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Bright Smart Securitiesmmodities Group and its competitors. This is 51% above median its historical median of 3.33. Over the past decade, Bright Smart Securitiesmmodities Group's Interest Coverage has ranged from 2.07 to 4.82. According to the industry distribution chart, Bright Smart Securitiesmmodities Group ranks #309 out of 433 companies in the Capital Markets industry, placing it in the top 71.4%.
Is Bright Smart Securitiesmmodities Group's Interest Coverage too high?
Bright Smart Securitiesmmodities Group's current Interest Coverage of 5.02 is 51% above median its 10-year median of 3.33. Over the past 10 years, this metric has ranged from a low of 2.07 to a high of 4.82. The Capital Markets industry median Interest Coverage is 20.17. Bright Smart Securitiesmmodities Group's value of 5.02 is 75.1% below this industry median. Based on the distribution chart, Bright Smart Securitiesmmodities Group ranks #309 out of 433 companies in the Capital Markets industry, which is below the industry midpoint. Overall, Bright Smart Securitiesmmodities Group has a GF Score™ of 51/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Bright Smart Securitiesmmodities Group's Interest Coverage compare to MS and GS?
According to the Capital Markets industry distribution chart, Bright Smart Securitiesmmodities Group ranks #309 out of 433 companies for Interest Coverage. This places Bright Smart Securitiesmmodities Group in the lower half of its industry. The industry median Interest Coverage is 20.17. Bright Smart Securitiesmmodities Group's value of 5.02 is 75.1% below this benchmark. Historically, Bright Smart Securitiesmmodities Group's own Interest Coverage has ranged from 2.07 to 4.82 over the past decade. While the company's 10-year median is 3.33 vs. the industry median of 20.17, Bright Smart Securitiesmmodities Group 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. Bright Smart Securitiesmmodities Group's current Interest Coverage of 5.02 is 75.1% 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 Bright Smart Securitiesmmodities Group 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. Bright Smart Securitiesmmodities Group's current Interest Coverage is 5.02, which is 51% above median its own 10-year median of 3.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bright Smart Securitiesmmodities Group stock overvalued right now?
Based on GuruFocus' analysis, Bright Smart Securitiesmmodities Group (HKSE:01428) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$2.28, compared to a current price of HK$7.05 — trading 209.2% above its estimated fair value. The current Interest Coverage is 5.02, which is 51% above median its 10-year median of 3.33 and 75.1% below the Capital Markets industry median of 20.17. Bright Smart Securitiesmmodities Group's overall GF Score™ is 51/100 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 Bright Smart Securitiesmmodities Group (HKSE:01428), the current Interest Coverage is 5.02 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 Bright Smart Securitiesmmodities Group (HKSE:01428) Overvalued in 2026?

Based on GuruFocus' analysis, Bright Smart Securitiesmmodities Group stock appears to be overvalued. The current stock price of HK$7.05 is trading 209.2% above its estimated GF Value™ of HK$2.28. GuruFocus considers Bright Smart Securitiesmmodities Group to be Significantly Overvalued.

Key valuation signals for HKSE:01428:

  • Interest Coverage: 5.02 (51% above median its 10-year median of 3.33)
  • GF Value™: HK$2.28 vs. price of HK$7.05 (209.2% above fair value)
  • GF Score™: 51/100 with 4 warning signs
  • Industry Position: 75.1% below the Capital Markets median (#309 of 433)

No single metric tells the full story. See the HKSE:01428 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Bright Smart Securitiesmmodities Group Business Description

Other Exchanges 0BX:Germany
Address 71 Des Voeux Road Central, 10th Floor and 23rd Floor, Wing On House, Central, Hong Kong, HKG
Bright Smart Securities & Commodities Group Ltd is a company that provides financial services, including securities broking, margin financing, commodities & futures broking, bullion trading and leveraged foreign exchange trading. The company operates via three segments. The Securities broking segment offers broking services in securities traded in Hong Kong and select overseas markets and provides margin financing services to its broking customers. The Commodities and futures broking segment offers broking services in commodities and futures contracts traded in Hong Kong and overseas markets. The Bullion trading segment provides trading services in bullion contracts traded overseas. The company generates majority of its revenue from the Securities broking segment.
51GF Score

Get the complete analysis for HKSE:01428

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$7.05
Price
HK$2.28
GF Value