Zhongwang Fabric Co (SHSE:605003) Interest Coverage: 5.72 (As of Mar. 2026) — 99% Below Median

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SHSE:605003 Zhongwang Fabric Co Ltd SHSE:605003
77 GF Score
Price ¥20.16
GF Value ¥22.18
Valuation Fairly Valued
! 4 Warning Signs
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What is Zhongwang Fabric Co Interest Coverage?

Zhongwang Fabric Co SHSE:605003 +1.51% 77 Interest Coverage is 5.72 as of Mar. 2026, which is 99% below its 10-year median of 413.54. GuruFocus rates SHSE:605003 with a GF Score™ of 77/100 and a GF Value™ of ¥22.18 (Fairly Valued). The stock has 4 warning signs investors should review. Among 738 Manufacturing - Apparel & Accessories companies, Zhongwang Fabric Co ranks better than 76.56% 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. Zhongwang Fabric Co's Operating Income for the three months ended in Mar. 2026 was ¥15.3 Mil. Zhongwang Fabric Co's Interest Expense for the three months ended in Mar. 2026 was ¥-2.7 Mil. Zhongwang Fabric Co's interest coverage for the quarter that ended in Mar. 2026 was 5.72. The higher the ratio, the stronger the company's financial strength is.

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

SHSE:605003' s Interest Coverage Range Over the Past 10 Years
Min: 24.55   Med: 413.54   Max: 10386.25
Current: 24.55


SHSE:605003's Interest Coverage is ranked better than
76.56% of 738 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 5.26 vs SHSE:605003: 24.55

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


Zhongwang Fabric Co  (SHSE:605003) 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 .


Zhongwang Fabric Co Interest Coverage Related Terms


Zhongwang Fabric Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Zhongwang Fabric 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.

Zhongwang Fabric Co Interest Coverage Chart

Zhongwang Fabric 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 584.33 413.03 215.73 253.59 540.13

Zhongwang Fabric 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 140.96 154.56 601.90 1,326.00 5.72

Zhongwang Fabric Co Interest Coverage Competitor Comparison

For the Textile Manufacturing subindustry, Zhongwang Fabric 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.


Zhongwang Fabric Co Interest Coverage vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Zhongwang Fabric Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Zhongwang Fabric Co's Interest Coverage falls into.


SHSE:605003
77GF Score
Zhongwang Fabric Co Ltd SHSE:605003
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Zhongwang Fabric 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.

Zhongwang Fabric 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, Zhongwang Fabric Co's Interest Expense was ¥-0.1 Mil. Its Operating Income was ¥75.6 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥0.0 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*75.618/-0.14
=540.13

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

Here, for the three months ended in Mar. 2026, Zhongwang Fabric Co's Interest Expense was ¥-2.7 Mil. Its Operating Income was ¥15.3 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥0.0 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*15.295/-2.675
=5.72

* 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 5.72 mean?
Zhongwang Fabric Co (SHSE:605003) has a Interest Coverage of 5.72 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Zhongwang Fabric Co and its competitors. This is 99% below median its historical median of 413.54. Over the past decade, Zhongwang Fabric Co's Interest Coverage has ranged from 24.55 to 10,386.25. According to the industry distribution chart, Zhongwang Fabric Co ranks #173 out of 738 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 23.4%.
Is Zhongwang Fabric Co's Interest Coverage too high?
Zhongwang Fabric Co's current Interest Coverage of 5.72 is 99% below median its 10-year median of 413.54. Over the past 10 years, this metric has ranged from a low of 24.55 to a high of 10,386.25. The Manufacturing - Apparel & Accessories industry median Interest Coverage is 5.26. Zhongwang Fabric Co's value of 5.72 is 8.7% above this industry median. Based on the distribution chart, Zhongwang Fabric Co ranks #173 out of 738 companies in the Manufacturing - Apparel & Accessories industry, which is in the top quartile — a strong position relative to peers. Overall, Zhongwang Fabric Co has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Zhongwang Fabric Co's Interest Coverage compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Zhongwang Fabric Co ranks #173 out of 738 companies for Interest Coverage. This places Zhongwang Fabric Co in the top 23% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 5.26. Zhongwang Fabric Co's value of 5.72 is 8.7% above this benchmark. Historically, Zhongwang Fabric Co's own Interest Coverage has ranged from 24.55 to 10,386.25 over the past decade. While the company's 10-year median is 413.54 vs. the industry median of 5.26, Zhongwang Fabric 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 Manufacturing - Apparel & Accessories company?
The median Interest Coverage among Manufacturing - Apparel & Accessories companies is 5.26, based on 738 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. Zhongwang Fabric Co's current Interest Coverage of 5.72 is 8.7% 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 Zhongwang Fabric Co and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Interest Coverage is 5.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zhongwang Fabric Co's current Interest Coverage is 5.72, which is 99% below median its own 10-year median of 413.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zhongwang Fabric Co stock overvalued right now?
Based on GuruFocus' analysis, Zhongwang Fabric Co (SHSE:605003) is currently considered Fairly Valued. The stock's GF Value™ is ¥22.18, compared to a current price of ¥20.16 — trading 9.1% below its estimated fair value. The current Interest Coverage is 5.72, which is 99% below median its 10-year median of 413.54 and 8.7% above the Manufacturing - Apparel & Accessories industry median of 5.26. Zhongwang Fabric Co's overall GF Score™ is 77/100 with 4 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 Zhongwang Fabric Co (SHSE:605003), the current Interest Coverage is 5.72 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 Zhongwang Fabric Co (SHSE:605003) Overvalued in 2026?

Based on GuruFocus' analysis, Zhongwang Fabric Co stock appears to be undervalued. The current stock price of ¥20.16 is trading 9.1% below its estimated GF Value™ of ¥22.18. GuruFocus considers Zhongwang Fabric Co to be Fairly Valued.

Key valuation signals for SHSE:605003:

  • Interest Coverage: 5.72 (99% below median its 10-year median of 413.54)
  • GF Value™: ¥22.18 vs. price of ¥20.16 (9.1% below fair value)
  • GF Score™: 77/100 with 4 warning signs
  • Industry Position: 8.7% above the Manufacturing - Apparel & Accessories median (#173 of 738)

No single metric tells the full story. See the SHSE:605003 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Zhongwang Fabric Co Business Description

Address No. 1 Shuihong Temple, Chongxian Street, Yuhang District, Zhejiang Province, Hangzhou, CHN, 311108
Zhongwang Fabric Co Ltd is engaged in design, production and sales of medium and high-end decorative fabrics and products. The company produces various middle and high end sofa fabric, contract fabric, performance fabric and raw material of special chemical fiber and provides home furnishing services like sofa renovation at the same time so as to transform from a manufacturer to a service provider.
77GF Score

Get the complete analysis for SHSE:605003

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

¥20.16
Price
¥22.18
GF Value