Hengdian Entertainment Co (SHSE:603103) Interest Coverage: 2.87 (As of Mar. 2026) — 90% Below Median

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SHSE:603103 Hengdian Entertainment Co Ltd SHSE:603103
73 GF Score
Price ¥13.04
GF Value ¥14.78
Valuation Modestly Undervalued
! 5 Warning Signs
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What is Hengdian Entertainment Co Interest Coverage?

Hengdian Entertainment Co SHSE:603103 -3.26% 73 Interest Coverage is 2.87 as of Mar. 2026, which is 90% below its 10-year median of 29.33. GuruFocus rates SHSE:603103 with a GF Score™ of 73/100 and a GF Value™ of ¥14.78 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 605 Media - Diversified companies, Hengdian Entertainment Co ranks worse than 165289.09% 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. Hengdian Entertainment Co's Operating Income for the three months ended in Mar. 2026 was ¥49 Mil. Hengdian Entertainment Co's Interest Expense for the three months ended in Mar. 2026 was ¥-17 Mil. Hengdian Entertainment Co's interest coverage for the quarter that ended in Mar. 2026 was 2.87. The higher the ratio, the stronger the company's financial strength is.

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


SHSE:603103's Interest Coverage is not ranked *
in the Media - Diversified industry.
Industry Median: 11.67
* Ranked among companies with meaningful Interest Coverage only.

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


Hengdian Entertainment Co  (SHSE:603103) 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 .


Hengdian Entertainment Co Interest Coverage Related Terms


Hengdian Entertainment Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Hengdian Entertainment 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.

Hengdian Entertainment Co Interest Coverage Chart

Hengdian Entertainment 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 1.01 0.00 2.27 0.00 2.47

Hengdian Entertainment 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 16.97 0.00 0.16 0.00 2.87

SHSE:603103 vs NFLX, DIS, WBD: Interest Coverage Comparison

For the Entertainment subindustry, Hengdian Entertainment 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.


Hengdian Entertainment Co Interest Coverage vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Hengdian Entertainment Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Hengdian Entertainment Co's Interest Coverage falls into.


SHSE:603103
73GF Score
Hengdian Entertainment Co Ltd SHSE:603103
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hengdian Entertainment 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.

Hengdian Entertainment 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, Hengdian Entertainment Co's Interest Expense was ¥-79 Mil. Its Operating Income was ¥194 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥1,228 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*194.029/-78.6
=2.47

Hengdian Entertainment Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Hengdian Entertainment Co's Interest Expense was ¥-17 Mil. Its Operating Income was ¥49 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥1,179 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*48.751/-16.972
=2.87

* 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 2.87 mean?
Hengdian Entertainment Co (SHSE:603103) has a Interest Coverage of 2.87 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Hengdian Entertainment Co and its competitors. This is 90% below median its historical median of 29.33. According to the industry distribution chart, Hengdian Entertainment Co ranks #999999 out of 605 companies in the Media - Diversified industry.
Is Hengdian Entertainment Co's Interest Coverage too high?
Hengdian Entertainment Co's current Interest Coverage of 2.87 is 90% below median its 10-year median of 29.33. The Media - Diversified industry median Interest Coverage is 11.67. Hengdian Entertainment Co's value of 2.87 is 75.4% below this industry median. Based on the distribution chart, Hengdian Entertainment Co ranks #999999 out of 605 companies in the Media - Diversified industry, which is in the bottom quartile relative to peers. Overall, Hengdian Entertainment Co has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hengdian Entertainment Co's Interest Coverage compare to NFLX and DIS?
According to the Media - Diversified industry distribution chart, Hengdian Entertainment Co ranks #999999 out of 605 companies for Interest Coverage. This places Hengdian Entertainment Co in the lower half of its industry. The industry median Interest Coverage is 11.67. Hengdian Entertainment Co's value of 2.87 is 75.4% below this benchmark. While the company's 10-year median is 29.33 vs. the industry median of 11.67, Hengdian Entertainment Co 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 Media - Diversified company?
The median Interest Coverage among Media - Diversified companies is 11.67, based on 605 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. Hengdian Entertainment Co's current Interest Coverage of 2.87 is 75.4% 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 Hengdian Entertainment Co and its competitors. For the Media - Diversified industry, the median Interest Coverage is 11.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hengdian Entertainment Co's current Interest Coverage is 2.87, which is 90% below median its own 10-year median of 29.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hengdian Entertainment Co stock overvalued right now?
Based on GuruFocus' analysis, Hengdian Entertainment Co (SHSE:603103) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥14.78, compared to a current price of ¥13.04 — trading 11.8% below its estimated fair value. The current Interest Coverage is 2.87, which is 90% below median its 10-year median of 29.33 and 75.4% below the Media - Diversified industry median of 11.67. Hengdian Entertainment Co's overall GF Score™ is 73/100 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 Hengdian Entertainment Co (SHSE:603103), the current Interest Coverage is 2.87 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 Hengdian Entertainment Co (SHSE:603103) Overvalued in 2026?

Based on GuruFocus' analysis, Hengdian Entertainment Co stock appears to be undervalued. The current stock price of ¥13.04 is trading 11.8% below its estimated GF Value™ of ¥14.78. GuruFocus considers Hengdian Entertainment Co to be Modestly Undervalued.

Key valuation signals for SHSE:603103:

  • Interest Coverage: 2.87 (90% below median its 10-year median of 29.33)
  • GF Value™: ¥14.78 vs. price of ¥13.04 (11.8% below fair value)
  • GF Score™: 73/100 with 5 warning signs
  • Industry Position: 75.4% below the Media - Diversified median (#999999 of 605)

No single metric tells the full story. See the SHSE:603103 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hengdian Entertainment Co Business Description

Address Hengdian Film and Television Industry Experimental Zone, Business Building, Hengdian Town, Zhejiang Province, Dongyang, CHN, 322118
Hengdian Entertainment Co Ltd operates as a film production company. It offers film production, film marketing and other services. The activities are carried out through the region of China.
73GF Score

Get the complete analysis for SHSE:603103

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

¥13.04
Price
¥14.78
GF Value