Shanghai Lianming Machinery Co (SHSE:603006) Interest Coverage: 269.80 (As of Mar. 2026) — 26% Below Median

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SHSE:603006 Shanghai Lianming Machinery Co Ltd SHSE:603006
69 GF Score
Price ¥11.29
GF Value ¥10.87
Valuation Fairly Valued
! 5 Warning Signs
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What is Shanghai Lianming Machinery Co Interest Coverage?

Shanghai Lianming Machinery Co SHSE:603006 -0.79% 69 Interest Coverage is 269.80 as of Mar. 2026, which is 26% below its 10-year median of 365.49. GuruFocus rates SHSE:603006 with a GF Score™ of 69/100 and a GF Value™ of ¥10.87 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,061 Vehicles & Parts companies, Shanghai Lianming Machinery Co ranks better than 95% 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. Shanghai Lianming Machinery Co's Operating Income for the three months ended in Mar. 2026 was ¥36.2 Mil. Shanghai Lianming Machinery Co's Interest Expense for the three months ended in Mar. 2026 was ¥-0.1 Mil. Shanghai Lianming Machinery Co's interest coverage for the quarter that ended in Mar. 2026 was 269.80. 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. Shanghai Lianming Machinery Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for Shanghai Lianming Machinery Co's Interest Coverage or its related term are showing as below:

SHSE:603006' s Interest Coverage Range Over the Past 10 Years
Min: 9.04   Med: 365.49   Max: 2770.98
Current: 378.93


SHSE:603006's Interest Coverage is ranked better than
95% of 1061 companies
in the Vehicles & Parts industry
Industry Median: 8.31 vs SHSE:603006: 378.93

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


Shanghai Lianming Machinery Co  (SHSE:603006) 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 .


Shanghai Lianming Machinery Co Interest Coverage Related Terms


Shanghai Lianming Machinery Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Shanghai Lianming Machinery 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.

Shanghai Lianming Machinery Co Interest Coverage Chart

Shanghai Lianming Machinery Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 294.30 2,770.98 723.90 675.13 436.67

Shanghai Lianming Machinery Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 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 335.64 1,129.48 2,387.23 216.76 269.80

SHSE:603006 vs ORLY, AZO: Interest Coverage Comparison

For the Auto Parts subindustry, Shanghai Lianming Machinery 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.


Shanghai Lianming Machinery Co Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Shanghai Lianming Machinery Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Shanghai Lianming Machinery Co's Interest Coverage falls into.


SHSE:603006
69GF Score
Shanghai Lianming Machinery Co Ltd SHSE:603006
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shanghai Lianming Machinery 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:

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.

Shanghai Lianming Machinery Co's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Shanghai Lianming Machinery Co's Interest Expense was ¥-0.2 Mil. Its Operating Income was ¥99.6 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥10.5 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*99.561/-0.228
=436.67

Shanghai Lianming Machinery Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Shanghai Lianming Machinery Co's Interest Expense was ¥-0.1 Mil. Its Operating Income was ¥36.2 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥8.9 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*36.153/-0.134
=269.80

* 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 269.80 mean?
Shanghai Lianming Machinery Co (SHSE:603006) has a Interest Coverage of 269.80 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Shanghai Lianming Machinery Co and its competitors. This is 26% below median its historical median of 365.49. Over the past decade, Shanghai Lianming Machinery Co's Interest Coverage has ranged from 9.04 to 2,770.98. According to the industry distribution chart, Shanghai Lianming Machinery Co ranks #53 out of 1061 companies in the Vehicles & Parts industry, placing it in the top 5%.
Is Shanghai Lianming Machinery Co's Interest Coverage too high?
Shanghai Lianming Machinery Co's current Interest Coverage of 269.80 is 26% below median its 10-year median of 365.49. Over the past 10 years, this metric has ranged from a low of 9.04 to a high of 2,770.98. The Vehicles & Parts industry median Interest Coverage is 8.31. Shanghai Lianming Machinery Co's value of 269.80 is 3146.7% above this industry median. Based on the distribution chart, Shanghai Lianming Machinery Co ranks #53 out of 1061 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Shanghai Lianming Machinery Co has a GF Score™ of 69/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Shanghai Lianming Machinery Co's Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Shanghai Lianming Machinery Co ranks #53 out of 1061 companies for Interest Coverage. This places Shanghai Lianming Machinery Co in the top 5% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 8.31. Shanghai Lianming Machinery Co's value of 269.80 is 3146.7% above this benchmark. Historically, Shanghai Lianming Machinery Co's own Interest Coverage has ranged from 9.04 to 2,770.98 over the past decade. While the company's 10-year median is 365.49 vs. the industry median of 8.31, Shanghai Lianming Machinery 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.31, based on 1,061 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. Shanghai Lianming Machinery Co's current Interest Coverage of 269.80 is 3146.7% 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 Shanghai Lianming Machinery Co and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shanghai Lianming Machinery Co's current Interest Coverage is 269.80, which is 26% below median its own 10-year median of 365.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanghai Lianming Machinery Co stock overvalued right now?
Based on GuruFocus' analysis, Shanghai Lianming Machinery Co (SHSE:603006) is currently considered Fairly Valued. The stock's GF Value™ is ¥10.87, compared to a current price of ¥11.29 — trading 3.9% above its estimated fair value. The current Interest Coverage is 269.80, which is 26% below median its 10-year median of 365.49 and 3146.7% above the Vehicles & Parts industry median of 8.31. Shanghai Lianming Machinery Co's overall GF Score™ is 69/100 with 5 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 Shanghai Lianming Machinery Co (SHSE:603006), the current Interest Coverage is 269.80 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 Shanghai Lianming Machinery Co (SHSE:603006) Overvalued in 2026?

Based on GuruFocus' analysis, Shanghai Lianming Machinery Co stock appears to be overvalued. The current stock price of ¥11.29 is trading 3.9% above its estimated GF Value™ of ¥10.87. GuruFocus considers Shanghai Lianming Machinery Co to be Fairly Valued.

Key valuation signals for SHSE:603006:

  • Interest Coverage: 269.80 (26% below median its 10-year median of 365.49)
  • GF Value™: ¥10.87 vs. price of ¥11.29 (3.9% above fair value)
  • GF Score™: 69/100 with 5 warning signs
  • Industry Position: 3146.7% above the Vehicles & Parts median (#53 of 1061)

No single metric tells the full story. See the SHSE:603006 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shanghai Lianming Machinery Co Business Description

Address No. 905, Chuansha Road, Pudong New Area, Shanghai, CHN, 201209
Shanghai Lianming Machinery Co Ltd is a manufacturer of automotive components. The company's products includes car body parts, such as stamping and welding assembly products for automotive OEMs.
69GF Score

Get the complete analysis for SHSE:603006

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

¥11.29
Price
¥10.87
GF Value