Union Semiconductor (Hefei) Co (SHSE:688403) Interest Coverage: 0.21 (As of Mar. 2026) — 97% Below Median

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SHSE:688403 Union Semiconductor (Hefei) Co Ltd SHSE:688403
45 GF Score
Price ¥30.07
GF Value ¥11.10
Valuation Significantly Overvalued
! 10 Warning Signs
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What is Union Semiconductor (Hefei) Co Interest Coverage?

Union Semiconductor (Hefei) Co SHSE:688403 -7.70% 45 Interest Coverage is 0.21 as of Mar. 2026, which is 97% below its 10-year median of 7.52. GuruFocus rates SHSE:688403 with a GF Score™ of 45/100 and a GF Value™ of ¥11.10 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 637 Semiconductors companies, Union Semiconductor (Hefei) Co ranks worse than 79.59% 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. Union Semiconductor (Hefei) Co's Operating Income for the three months ended in Mar. 2026 was ¥2 Mil. Union Semiconductor (Hefei) Co's Interest Expense for the three months ended in Mar. 2026 was ¥-8 Mil. Union Semiconductor (Hefei) Co's interest coverage for the quarter that ended in Mar. 2026 was 0.21. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Union Semiconductor (Hefei) Co's Interest Coverage or its related term are showing as below:

SHSE:688403' s Interest Coverage Range Over the Past 10 Years
Min: 1.33   Med: 7.52   Max: 536.17
Current: 4.22


SHSE:688403's Interest Coverage is ranked worse than
79.59% of 637 companies
in the Semiconductors industry
Industry Median: 20.5 vs SHSE:688403: 4.22

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


Union Semiconductor (Hefei) Co  (SHSE:688403) 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 .


Union Semiconductor (Hefei) Co Interest Coverage Related Terms


Union Semiconductor (Hefei) Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Union Semiconductor (Hefei) 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.

Union Semiconductor (Hefei) Co Interest Coverage Chart

Union Semiconductor (Hefei) Co Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial 536.17 18.29 0.00 7.52 5.40

Union Semiconductor (Hefei) 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 5.45 6.99 3.78 5.41 0.21

SHSE:688403 vs NVDA, AVGO, MU: Interest Coverage Comparison

For the Semiconductors subindustry, Union Semiconductor (Hefei) 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.


Union Semiconductor (Hefei) Co Interest Coverage vs Semiconductors Industry

For the Semiconductors industry and Technology sector, Union Semiconductor (Hefei) Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Union Semiconductor (Hefei) Co's Interest Coverage falls into.


SHSE:688403
45GF Score
Union Semiconductor (Hefei) Co Ltd SHSE:688403
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Union Semiconductor (Hefei) 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.

Union Semiconductor (Hefei) 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, Union Semiconductor (Hefei) Co's Interest Expense was ¥-37 Mil. Its Operating Income was ¥201 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥932 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*200.674/-37.134
=5.40

Union Semiconductor (Hefei) Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Union Semiconductor (Hefei) Co's Interest Expense was ¥-8 Mil. Its Operating Income was ¥2 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥462 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*1.723/-8.142
=0.21

* 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 0.21 mean?
Union Semiconductor (Hefei) Co (SHSE:688403) has a Interest Coverage of 0.21 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Union Semiconductor (Hefei) Co and its competitors. This is 97% below median its historical median of 7.52. Over the past decade, Union Semiconductor (Hefei) Co's Interest Coverage has ranged from 1.33 to 536.17. According to the industry distribution chart, Union Semiconductor (Hefei) Co ranks #507 out of 637 companies in the Semiconductors industry, placing it in the top 79.6%.
Is Union Semiconductor (Hefei) Co's Interest Coverage too high?
Union Semiconductor (Hefei) Co's current Interest Coverage of 0.21 is 97% below median its 10-year median of 7.52. Over the past 10 years, this metric has ranged from a low of 1.33 to a high of 536.17. The Semiconductors industry median Interest Coverage is 20.50. Union Semiconductor (Hefei) Co's value of 0.21 is 99% below this industry median. Based on the distribution chart, Union Semiconductor (Hefei) Co ranks #507 out of 637 companies in the Semiconductors industry, which is in the bottom quartile relative to peers. Overall, Union Semiconductor (Hefei) Co has a GF Score™ of 45/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Union Semiconductor (Hefei) Co's Interest Coverage compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Union Semiconductor (Hefei) Co ranks #507 out of 637 companies for Interest Coverage. This places Union Semiconductor (Hefei) Co in the lower half of its industry. The industry median Interest Coverage is 20.50. Union Semiconductor (Hefei) Co's value of 0.21 is 99% below this benchmark. Historically, Union Semiconductor (Hefei) Co's own Interest Coverage has ranged from 1.33 to 536.17 over the past decade. While the company's 10-year median is 7.52 vs. the industry median of 20.50, Union Semiconductor (Hefei) 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 Semiconductors company?
The median Interest Coverage among Semiconductors companies is 20.50, based on 637 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. Union Semiconductor (Hefei) Co's current Interest Coverage of 0.21 is 99% 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 Union Semiconductor (Hefei) Co and its competitors. For the Semiconductors industry, the median Interest Coverage is 20.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Union Semiconductor (Hefei) Co's current Interest Coverage is 0.21, which is 97% below median its own 10-year median of 7.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Union Semiconductor (Hefei) Co stock overvalued right now?
Based on GuruFocus' analysis, Union Semiconductor (Hefei) Co (SHSE:688403) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥11.10, compared to a current price of ¥30.07 — trading 170.9% above its estimated fair value. The current Interest Coverage is 0.21, which is 97% below median its 10-year median of 7.52 and 99% below the Semiconductors industry median of 20.50. Union Semiconductor (Hefei) Co's overall GF Score™ is 45/100 with 10 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 Union Semiconductor (Hefei) Co (SHSE:688403), the current Interest Coverage is 0.21 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 Union Semiconductor (Hefei) Co (SHSE:688403) Overvalued in 2026?

Based on GuruFocus' analysis, Union Semiconductor (Hefei) Co stock appears to be overvalued. The current stock price of ¥30.07 is trading 170.9% above its estimated GF Value™ of ¥11.10. GuruFocus considers Union Semiconductor (Hefei) Co to be Significantly Overvalued.

Key valuation signals for SHSE:688403:

  • Interest Coverage: 0.21 (97% below median its 10-year median of 7.52)
  • GF Value™: ¥11.10 vs. price of ¥30.07 (170.9% above fair value)
  • GF Score™: 45/100 with 10 warning signs
  • Industry Position: 99% below the Semiconductors median (#507 of 637)

No single metric tells the full story. See the SHSE:688403 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Union Semiconductor (Hefei) Co Business Description

Address Hefei Comprehensive Bonded Zone, Xinzhan District, Anhui Province, Hefei, CHN, 230012
Union Semiconductor (Hefei) Co Ltd is a high-end packaging and testing service provider for integrated circuits. It focuses on the field of display driver chips. The company's main business is the front-end gold bumping manufacturing as the core, and integrates wafer testing, back-end chip-on-glass, and chip-on-film links to form a full range of display driver chips.
45GF Score

Get the complete analysis for SHSE:688403

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

¥30.07
Price
¥11.10
GF Value