Zhejiang Medicine CoSHSE:600216 -0.83%81 Interest Coverage is 69.23 as of Mar. 2026, which is 179% above its 10-year median of 24.80. GuruFocus rates SHSE:600216 with a GF Score™ of 81/100 and a GF Value™ of ¥13.81 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 685 Drug Manufacturers companies, Zhejiang Medicine Co ranks better than 69.2% 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. Zhejiang Medicine Co's
Operating Income
for the
three
months ended in Mar. 2026 was ¥334 Mil. Zhejiang Medicine Co's Interest Expense for the
three
months ended in Mar. 2026 was ¥-5 Mil.
Zhejiang Medicine Co's interest coverage for the quarter that ended in Mar. 2026 was 69.23.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Zhejiang Medicine Co's Interest Coverage or its related term are showing as below:
SHSE:600216'
s Interest Coverage Range Over the Past 10 Years
Min: 5.47 Med: 24.8 Max: 57.19
Current: 40.4
SHSE:600216's Interest Coverage is ranked better than 69.2% of 685
companies
in the Drug Manufacturers industry
Industry Median: 12.75
vs SHSE:600216: 40.40
Zhejiang Medicine Co (SHSE:600216) 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 .
Zhejiang Medicine Co Interest Coverage Related Terms
Zhejiang Medicine Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for Zhejiang Medicine 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:600216 vs ZTS, UTHR: Interest Coverage Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Zhejiang Medicine 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.
Zhejiang Medicine Co Interest Coverage vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Zhejiang Medicine Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Zhejiang Medicine Co's Interest Coverage falls into.
Zhejiang Medicine 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.
Zhejiang Medicine Co (SHSE:600216) has a Interest Coverage of 69.23 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Zhejiang Medicine Co and its competitors. This is 179% above median its historical median of 24.80. Over the past decade, Zhejiang Medicine Co's Interest Coverage has ranged from 5.47 to 57.19. According to the industry distribution chart, Zhejiang Medicine Co ranks #211 out of 685 companies in the Drug Manufacturers industry, placing it in the top 30.8%.
Is Zhejiang Medicine Co's Interest Coverage too high?
Zhejiang Medicine Co's current Interest Coverage of 69.23 is 179% above median its 10-year median of 24.80. Over the past 10 years, this metric has ranged from a low of 5.47 to a high of 57.19. The Drug Manufacturers industry median Interest Coverage is 12.75. Zhejiang Medicine Co's value of 69.23 is 443% above this industry median. Based on the distribution chart, Zhejiang Medicine Co ranks #211 out of 685 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Zhejiang Medicine Co has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zhejiang Medicine Co's Interest Coverage compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Zhejiang Medicine Co ranks #211 out of 685 companies for Interest Coverage. This puts Zhejiang Medicine Co in the upper half of its industry. The industry median Interest Coverage is 12.75. Zhejiang Medicine Co's value of 69.23 is 443% above this benchmark. Historically, Zhejiang Medicine Co's own Interest Coverage has ranged from 5.47 to 57.19 over the past decade. While the company's 10-year median is 24.80 vs. the industry median of 12.75, Zhejiang Medicine 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 Drug Manufacturers company?
The median Interest Coverage among Drug Manufacturers companies is 12.75, based on 685 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. Zhejiang Medicine Co's current Interest Coverage of 69.23 is 443% 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 Zhejiang Medicine Co and its competitors. For the Drug Manufacturers industry, the median Interest Coverage is 12.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zhejiang Medicine Co's current Interest Coverage is 69.23, which is 179% above median its own 10-year median of 24.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zhejiang Medicine Co stock overvalued right now?
Based on GuruFocus' analysis, Zhejiang Medicine Co (SHSE:600216) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥13.81, compared to a current price of ¥12.00 — trading 13.1% below its estimated fair value. The current Interest Coverage is 69.23, which is 179% above median its 10-year median of 24.80 and 443% above the Drug Manufacturers industry median of 12.75. Zhejiang Medicine Co's overall GF Score™ is 81/100 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 Zhejiang Medicine Co (SHSE:600216), the current Interest Coverage is 69.23 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 Zhejiang Medicine Co (SHSE:600216) Overvalued in 2026?
Based on GuruFocus' analysis, Zhejiang Medicine Co stock appears to be undervalued.
The current stock price of ¥12.00 is trading 13.1% below its estimated GF Value™ of ¥13.81.
GuruFocus considers Zhejiang Medicine Co to be Modestly Undervalued.
Key valuation signals for SHSE:600216:
Interest Coverage: 69.23 (179% above median its 10-year median of 24.80)
GF Value™: ¥13.81 vs. price of ¥12.00 (13.1% below fair value)
Industry Position: 443% above the Drug Manufacturers median (#211 of 685)
No single metric tells the full story. See the SHSE:600216 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zhejiang Medicine Co Ltd is a china-based pharmaceutical company. The company manufactures fat-soluble vitamins, vitamins, quinolones, and antibiotic-resistant antibiotics, vitamin E, natural vitamin E, beta-carotene, cantharidin, vancomycin hydrochloride, and teicoplanin.
81GF Score
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Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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