China Meheco Group CoSHSE:600056 -2.34%65 Interest Coverage is 10.86 as of Mar. 2026, which is 1% below its 10-year median of 10.96. GuruFocus rates SHSE:600056 with a GF Score™ of 65/100 and a GF Value™ of ¥10.49 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 89 Medical Distribution companies, China Meheco Group Co ranks better than 53.93% 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. China Meheco Group Co's
Operating Income
for the
three
months ended in Mar. 2026 was ¥344 Mil. China Meheco Group Co's Interest Expense for the
three
months ended in Mar. 2026 was ¥-32 Mil.
China Meheco Group Co's interest coverage for the quarter that ended in Mar. 2026 was 10.86.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for China Meheco Group Co's Interest Coverage or its related term are showing as below:
SHSE:600056'
s Interest Coverage Range Over the Past 10 Years
Min: 7.17 Med: 10.96 Max: 26.16
Current: 7.3
SHSE:600056's Interest Coverage is ranked better than 53.93% of 89
companies
in the Medical Distribution industry
Industry Median: 6.23
vs SHSE:600056: 7.30
China Meheco Group Co (SHSE:600056) 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 .
China Meheco Group Co Interest Coverage Related Terms
China Meheco Group Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for China Meheco Group 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.
SHSE:600056 vs MCK, CAH, COR: Interest Coverage Comparison
For the Medical Distribution subindustry, China Meheco Group 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.
China Meheco Group Co Interest Coverage vs Medical Distribution Industry
For the Medical Distribution industry and Healthcare sector, China Meheco Group Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where China Meheco Group Co's Interest Coverage falls into.
China Meheco Group Co 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.
China Meheco Group Co (SHSE:600056) has a Interest Coverage of 10.86 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on China Meheco Group Co and its competitors. This is near median its historical median of 10.96. Over the past decade, China Meheco Group Co's Interest Coverage has ranged from 7.17 to 26.16. According to the industry distribution chart, China Meheco Group Co ranks #41 out of 89 companies in the Medical Distribution industry, placing it in the top 46.1%.
Is China Meheco Group Co's Interest Coverage too high?
China Meheco Group Co's current Interest Coverage of 10.86 is near median its 10-year median of 10.96. Over the past 10 years, this metric has ranged from a low of 7.17 to a high of 26.16. The Medical Distribution industry median Interest Coverage is 6.23. China Meheco Group Co's value of 10.86 is 74.3% above this industry median. Based on the distribution chart, China Meheco Group Co ranks #41 out of 89 companies in the Medical Distribution industry, which is above the industry midpoint. Overall, China Meheco Group Co has a GF Score™ of 65/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does China Meheco Group Co's Interest Coverage compare to MCK and CAH?
According to the Medical Distribution industry distribution chart, China Meheco Group Co ranks #41 out of 89 companies for Interest Coverage. This puts China Meheco Group Co in the upper half of its industry. The industry median Interest Coverage is 6.23. China Meheco Group Co's value of 10.86 is 74.3% above this benchmark. Historically, China Meheco Group Co's own Interest Coverage has ranged from 7.17 to 26.16 over the past decade. While the company's 10-year median is 10.96 vs. the industry median of 6.23, China Meheco Group 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 Medical Distribution company?
The median Interest Coverage among Medical Distribution companies is 6.23, based on 89 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. China Meheco Group Co's current Interest Coverage of 10.86 is 74.3% 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 China Meheco Group Co and its competitors. For the Medical Distribution industry, the median Interest Coverage is 6.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Meheco Group Co's current Interest Coverage is 10.86, which is near median its own 10-year median of 10.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Meheco Group Co stock overvalued right now?
Based on GuruFocus' analysis, China Meheco Group Co (SHSE:600056) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥10.49, compared to a current price of ¥8.75 — trading 16.6% below its estimated fair value. The current Interest Coverage is 10.86, which is near median its 10-year median of 10.96 and 74.3% above the Medical Distribution industry median of 6.23. China Meheco Group Co's overall GF Score™ is 65/100 with 6 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 China Meheco Group Co (SHSE:600056), the current Interest Coverage is 10.86 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 China Meheco Group Co (SHSE:600056) Overvalued in 2026?
Based on GuruFocus' analysis, China Meheco Group Co stock appears to be undervalued.
The current stock price of ¥8.75 is trading 16.6% below its estimated GF Value™ of ¥10.49.
GuruFocus considers China Meheco Group Co to be Modestly Undervalued.
Key valuation signals for SHSE:600056:
Interest Coverage: 10.86 (near median its 10-year median of 10.96)
GF Value™: ¥10.49 vs. price of ¥8.75 (16.6% below fair value)
Industry Position: 74.3% above the Medical Distribution median (#41 of 89)
No single metric tells the full story. See the SHSE:600056 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Meheco Group Co Ltd is engaged in the distribution and trading of botanical medicines, medical instruments, and pharmaceuticals. It offers botanic medicines and herbal products, as well as exports of natural medicines, including herbs, spices, plant extracts, bee products, and Chinese traditional medicines. The company's business scope covers the whole industry chain, from research and development, cultivation and processing, manufacturing, distribution, and logistics to international trading, academic promotion, and technical service. The corporation provides trading services for customers in the pharmaceutical and chemical field, covering APIs, preparations, biologicals, blood products, and others.
65GF Score
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