NetEaseNETTF -0.98%94 Interest Coverage is No Debt (1) as of Mar. 2026, which is 100% below its 10-year median of 10,000.00. GuruFocus rates NETTF with a GF Score™ of 94/100 and a GF Value™ of $24.76 (Fairly Valued). Among 316 Interactive Media companies, NetEase ranks worse than 316455.38% 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. NetEase's
Operating Income
for the
three
months ended in Mar. 2026 was $1,836 Mil. NetEase's Interest Expense for the
three
months ended in Mar. 2026 was $0 Mil.
NetEase has no debt.
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. NetEase Inc has enough cash to cover all of its debt. Its financial situation is stable.
(1) 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.
The historical rank and industry rank for NetEase's Interest Coverage or its related term are showing as below:
NETTF's Interest Coverage is not ranked *
in the Interactive Media industry.
Industry Median: 38.305 * Ranked among companies with meaningful Interest Coverage only.
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 .
NetEase Interest Coverage Related Terms
NetEase Interest Coverage Historical Data
* Premium members only.
The historical data trend for NetEase'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.
NETTF vs EA, TTWO, RBLX: Interest Coverage Comparison
For the Electronic Gaming & Multimedia subindustry, NetEase'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.
NetEase Interest Coverage vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, NetEase's Interest Coverage distribution charts can be found below:
* The bar in red indicates where NetEase'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.
What does a Interest Coverage of No Debt <sup>(1)</sup> mean?
NetEase (NETTF) has a Interest Coverage of No Debt (1) as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on NetEase and its competitors. This is 100% below median its historical median of 10,000.00. Over the past decade, NetEase's Interest Coverage has ranged from 10,000.00 to 10,000.00. According to the industry distribution chart, NetEase ranks #999999 out of 316 companies in the Interactive Media industry.
Is NetEase's Interest Coverage too high?
NetEase's current Interest Coverage of No Debt (1) is 100% below median its 10-year median of 10,000.00. Over the past 10 years, this metric has ranged from a low of 10,000.00 to a high of 10,000.00. Based on the distribution chart, NetEase ranks #999999 out of 316 companies in the Interactive Media industry, which is in the bottom quartile relative to peers. Overall, NetEase has a GF Score™ of 94/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does NetEase's Interest Coverage compare to EA and TTWO?
According to the Interactive Media industry distribution chart, NetEase ranks #999999 out of 316 companies for Interest Coverage. This places NetEase in the lower half of its industry. The industry median Interest Coverage is 38.31. Historically, NetEase's own Interest Coverage has ranged from 10,000.00 to 10,000.00 over the past decade. 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 an Interactive Media company?
The median Interest Coverage among Interactive Media companies is 38.31, based on 316 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. 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 NetEase and its competitors. For the Interactive Media industry, the median Interest Coverage is 38.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NetEase's current Interest Coverage is No Debt (1), which is 100% below median its own 10-year median of 10,000.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NetEase stock overvalued right now?
Based on GuruFocus' analysis, NetEase (NETTF) is currently considered Fairly Valued. The stock's GF Value™ is $24.76, compared to a current price of $24.26 — trading 2% below its estimated fair value. The current Interest Coverage is No Debt (1), which is 100% below median its 10-year median of 10,000.00. NetEase's overall GF Score™ is 94/100. 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 NetEase (NETTF), the current Interest Coverage is No Debt (1) as of Mar. 2026. 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 NetEase (NETTF) Overvalued in 2026?
Based on GuruFocus' analysis, NetEase stock appears to be undervalued.
The current stock price of $24.26 is trading 2% below its estimated GF Value™ of $24.76.
GuruFocus considers NetEase to be Fairly Valued.
Key valuation signals for NETTF:
Interest Coverage: No Debt (1) (100% below median its 10-year median of 10,000.00)
GF Value™: $24.76 vs. price of $24.26 (2% below fair value)
No single metric tells the full story. See the NETTF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in the late 1990s as an internet portal, NetEase has evolved into China's second-largest online gaming company. Its early success was anchored by the massively multiplayer online role-playing game Fantasy Westward Journey, which laid the foundation for a durable franchise strategy. Over the past decade, the company has expanded its portfolio with successful titles such as Justice, Identity V, Naraka: Bladepoint, and Eggy Party, all of which continue to maintain sizable and engaged player bases.In addition to its in-house development capabilities, NetEase partners with global IP holders such as Microsoft and Marvel to develop and publish titles based on established franchises, including World of Warcraft, Diablo Immortal, and Marvel Rivals, further strengthening its global presence.
94GF Score
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