China Railway Construction Heavy Industry (SHSE:688425) Interest Coverage: 37.74 (As of Mar. 2026) — 29% Above Median

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SHSE:688425 China Railway Construction Heavy Industry Corp Ltd SHSE:688425
82 GF Score
Price ¥4.17
GF Value ¥4.84
Valuation Modestly Undervalued
! 5 Warning Signs
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What is China Railway Construction Heavy Industry Interest Coverage?

China Railway Construction Heavy Industry SHSE:688425 +1.46% 82 Interest Coverage is 37.74 as of Mar. 2026, which is 29% above its 10-year median of 29.20. GuruFocus rates SHSE:688425 with a GF Score™ of 82/100 and a GF Value™ of ¥4.84 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 2,322 Industrial Products companies, China Railway Construction Heavy Industry ranks better than 72.91% 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. China Railway Construction Heavy Industry's Operating Income for the three months ended in Mar. 2026 was ¥221 Mil. China Railway Construction Heavy Industry's Interest Expense for the three months ended in Mar. 2026 was ¥-6 Mil. China Railway Construction Heavy Industry's interest coverage for the quarter that ended in Mar. 2026 was 37.74. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for China Railway Construction Heavy Industry's Interest Coverage or its related term are showing as below:

SHSE:688425' s Interest Coverage Range Over the Past 10 Years
Min: 20.6   Med: 29.2   Max: 155.42
Current: 51.13


SHSE:688425's Interest Coverage is ranked better than
72.91% of 2322 companies
in the Industrial Products industry
Industry Median: 14.735 vs SHSE:688425: 51.13

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


China Railway Construction Heavy Industry  (SHSE:688425) 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 .


China Railway Construction Heavy Industry Interest Coverage Related Terms


China Railway Construction Heavy Industry Interest Coverage Historical Data

* Premium members only.

The historical data trend for China Railway Construction Heavy Industry'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.

China Railway Construction Heavy Industry Interest Coverage Chart

China Railway Construction Heavy Industry Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only 20.60 29.03 21.94 26.31 49.30

China Railway Construction Heavy Industry 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 35.79 55.35 26.62 89.78 37.74

SHSE:688425 vs GEV, ETN, PH: Interest Coverage Comparison

For the Specialty Industrial Machinery subindustry, China Railway Construction Heavy Industry'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.


China Railway Construction Heavy Industry Interest Coverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, China Railway Construction Heavy Industry's Interest Coverage distribution charts can be found below:

* The bar in red indicates where China Railway Construction Heavy Industry's Interest Coverage falls into.


SHSE:688425
82GF Score
China Railway Construction Heavy Industry Corp Ltd SHSE:688425
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

China Railway Construction Heavy Industry 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.

China Railway Construction Heavy Industry'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, China Railway Construction Heavy Industry's Interest Expense was ¥-32 Mil. Its Operating Income was ¥1,577 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥441 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*1577.471/-31.999
=49.30

China Railway Construction Heavy Industry's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, China Railway Construction Heavy Industry's Interest Expense was ¥-6 Mil. Its Operating Income was ¥221 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥441 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*221.464/-5.868
=37.74

* 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 37.74 mean?
China Railway Construction Heavy Industry (SHSE:688425) has a Interest Coverage of 37.74 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on China Railway Construction Heavy Industry and its competitors. This is 29% above median its historical median of 29.20. Over the past decade, China Railway Construction Heavy Industry's Interest Coverage has ranged from 20.60 to 155.42. According to the industry distribution chart, China Railway Construction Heavy Industry ranks #629 out of 2322 companies in the Industrial Products industry, placing it in the top 27.1%.
Is China Railway Construction Heavy Industry's Interest Coverage too high?
China Railway Construction Heavy Industry's current Interest Coverage of 37.74 is 29% above median its 10-year median of 29.20. Over the past 10 years, this metric has ranged from a low of 20.60 to a high of 155.42. The Industrial Products industry median Interest Coverage is 14.74. China Railway Construction Heavy Industry's value of 37.74 is 156.1% above this industry median. Based on the distribution chart, China Railway Construction Heavy Industry ranks #629 out of 2322 companies in the Industrial Products industry, which is above the industry midpoint. Overall, China Railway Construction Heavy Industry has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does China Railway Construction Heavy Industry's Interest Coverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, China Railway Construction Heavy Industry ranks #629 out of 2322 companies for Interest Coverage. This puts China Railway Construction Heavy Industry in the upper half of its industry. The industry median Interest Coverage is 14.74. China Railway Construction Heavy Industry's value of 37.74 is 156.1% above this benchmark. Historically, China Railway Construction Heavy Industry's own Interest Coverage has ranged from 20.60 to 155.42 over the past decade. While the company's 10-year median is 29.20 vs. the industry median of 14.74, China Railway Construction Heavy Industry 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 an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.74, based on 2,322 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. China Railway Construction Heavy Industry's current Interest Coverage of 37.74 is 156.1% 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 China Railway Construction Heavy Industry and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Railway Construction Heavy Industry's current Interest Coverage is 37.74, which is 29% above median its own 10-year median of 29.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Railway Construction Heavy Industry stock overvalued right now?
Based on GuruFocus' analysis, China Railway Construction Heavy Industry (SHSE:688425) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥4.84, compared to a current price of ¥4.17 — trading 13.8% below its estimated fair value. The current Interest Coverage is 37.74, which is 29% above median its 10-year median of 29.20 and 156.1% above the Industrial Products industry median of 14.74. China Railway Construction Heavy Industry's overall GF Score™ is 82/100 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 China Railway Construction Heavy Industry (SHSE:688425), the current Interest Coverage is 37.74 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 China Railway Construction Heavy Industry (SHSE:688425) Overvalued in 2026?

Based on GuruFocus' analysis, China Railway Construction Heavy Industry stock appears to be undervalued. The current stock price of ¥4.17 is trading 13.8% below its estimated GF Value™ of ¥4.84. GuruFocus considers China Railway Construction Heavy Industry to be Modestly Undervalued.

Key valuation signals for SHSE:688425:

  • Interest Coverage: 37.74 (29% above median its 10-year median of 29.20)
  • GF Value™: ¥4.84 vs. price of ¥4.17 (13.8% below fair value)
  • GF Score™: 82/100 with 5 warning signs
  • Industry Position: 156.1% above the Industrial Products median (#629 of 2322)

No single metric tells the full story. See the SHSE:688425 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China Railway Construction Heavy Industry Business Description

Address No. 88, East Seventh Line, Economic and Technological Development Zone, Hunan Province, Changsha, CHN, 410100
China Railway Construction Heavy Industry Corp Ltd is engaged in the design, research and development, manufacturing, sales, leasing and service of roadheader equipment, rail transit equipment and special professional equipment.
82GF Score

Get the complete analysis for SHSE:688425

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

¥4.17
Price
¥4.84
GF Value